L’Oréal USA, the largest subsidiary of L’Oréal, S.A., the world’s leading beauty company, and SAP, the market leader in enterprise software applications, will join Coach, Inc., in the South Tower of Hudson Yards, Related Companies and Oxford Properties Group have announced.
L’Oréal USA has leased an initial 402,000 s/f for their U.S. corporate headquarters, and SAP has leased 115,000 s/f on the very top four floors of the building. Coach, Inc. has purchased 740,000 s/f for their global corporate headquarters.
With these lease agreements, including expansion space, the South Tower is more than 80 percent committed and will kick off the 26-acre Hudson Yards development.
CBRE’s Michael Geoghegan, vice chairman, represented L’Oreal, and Jones Lang Lesalle’s Alexander M. Chudnoff, executive managing director, represented SAP.
Related was represented by CBRE’s Robert Alexander, chairman; Howard Fiddle, vice chairman, and Robert Stillman, vice chairman. CBRE’s Mary Ann Tighe, CEO, NY Tri-State Region, and Gregory Tosko, vice chairman, represented Coach.
Equity investors in the first phase of the Hudson Yards include Coach, Related, Oxford, institutional investors advised by J.P. Morgan Asset Management, and a prominent sovereign wealth fund. Construction financing is being provided by a syndicate led by Starwood Property Trust, which includes member organizations of the United Brotherhood of Carpenters and Joiners, along with Oxford Properties Group.
The LEED-Gold South Tower, designed by Kohn Pedersen Fox Associates (KPF), will stand 895 feet tall and feature panoramic views of the city and the Hudson River, with a total of 15,000 s/f of terrace space on three levels. Construction on the 1.7 million s/f South Tower – at the corner of 10th Avenue and the north side of 30th Street – began last year and the building is slated for occupancy in 2015. The South Tower will integrate with the celebrated High Line, which passes through the structure of the building and will directly connect to the public plaza.