By Linda O’Flanagan
kate spade new york has signed a new, long-term lease for approximately 86,000 s/f at 2 Park Avenue, where it will relocate its corporate headquarters in Spring 2012.
Real Estate Weekly exclusively first reported the deal back in July when it was revealed that the designer of women’s bags and apparel was taking two floors at 2 Park Avenue at rents reportedly in the mid $40s per square foot.
The fashion and lifestyle brand will expand its footprint from the 45,000 s/f it presently occupies at 48 West 25th Street. Craig Leavitt, CEO of kate spade new york, says, “After nearly two years of hunting for the perfect home, we believe we have found it at 2 Park Avenue.
“The last few years have been ones of incredible growth and expansion for us and, although we will be sad to leave our current offices, we simply have outgrown them and need more space.
“It is a very exciting time for us as a company as we continue to see tremendous growth across the board.”
Newmark Knight Frank’s David Falk, president of the New York Tri-State region, and Jason Greenstein, managing director, represented kate spade new york in the transaction.
Tara Stacom, Mitchell Arkin, David E. Green and Whitten Morris of Cushman & Wakefield represented the building owner, a Morgan Stanley Real Estate Investing affiliate.
“Two Park Ave. accommodated the tenant’s needs with an open layout and large floors,” said Stacom, a Cushman & Wakefield vice chairman.
“The building is located in a hip neighborhood that has been transformed by an influx of high-end restaurants, health clubs and luxury residential options, and also offers the convenience of being situated near Manhattan’s major transportation hubs.”
Two Park Ave., a New York City landmark with recent building renovations and upgrades, is a Class A office building located within walking distance to Penn Station and Grand Central Terminal.
The deal with Kate Spade is the second large deal at 2 Park in recent months by an apparel company.
As Real Estate Weekly also first reported, Gilt Groupe, an online retailer of discounted designer clothing, accessories and other luxury items, including vacation packages, roughly doubled its size in the building to about 100,000 s/f in March.
And ASME, an association for mechanical engineeers, signed a deal for about 100,000 s/f, relocating to the property from nearby 3 Park Avenue.