By Daniel Geiger
Yahoo, the Internet search engine and software company, has signed a lease at 1540 Broadway, according to several sources.
The company signed a ten-year, seven-month lease for floors 41, 42, and 43 in the 1.1 million s/f building, totaling roughly 55,000 s/f. According to sources, Yahoo will pay $68 per s/f in rent for the first five years and four months of the lease and then $74 per s/f for the next five years and three months.
Yahoo will be relocating from 2 Park Avenue, where it has subleased portions of space, including that building’s entire 50,000 s/f fourth floor to the online discount designer clothing retailers Gilt Groupe.
Martin Horner, a leasing executive at Jones Lang LaSalle, represented Yahoo in the deal. Horner said that he couldn’t comment. A leasing team from the real estate services company CB Richard Ellis handles leasing at 1540 Broadway. CBRE Investors purchased the building at the depths of the downturn, then sold a 49 percent minority stake in the property to Edge Fund Advisors and HSBC Alternative Investments late last year for $254 million according to written reports, a substantial profit over what CBRE paid.