Pershing Square Capital Management, the $12 billion activist hedge fund led by Bill Ackman, has officially signed a 15-year lease for its new home in New York’s Hell’s Kitchen neighborhood, real estate developer The Georgetown Company announced on Wednesday.
Pershing Square and The Pershing Square Foundation, which are currently located at 888 7th Avenue, will relocate their headquarters in late 2017 to the historic car dealership building at 787 11th Avenue. The new offices will occupy a 67,000 square-foot, two-story glass penthouse on the 9th and 10th floors — a new addition to the building. The penthouse also features a private terrace and a tennis court.
Just over a year ago, The Georgetown Company partnered with members of the Ackman family to purchase the property. The Georgetown Company is known for developing the iconic IAC Building located on 19th Street in Manhattan’s West Side.
The Georgetown Company recently secured a $349.5 million construction loan from Blackstone Real Estate Debt Strategies to finance the redevelopment. The property is currently undergoing a complete redevelopment to transform the upper levels into modern offices. The redesign is being led by renowned architect Rafael Viñoly.
The first five floors have already been leased. The 6th, 7th, and 8th floors are currently available, each offering around 50,000 square-feet in office space. The spaces feature tall ceilings and oversized windows, creating a sun-filled work environment. Office tenants will also have access to a massive rooftop garden and the amenities that will be put up there.
The building is located on the far West Side directly across the street from Dewitt Clinton Park and just one block away from the Hudson River Park. Although it’s far from subway lines, tenants will have access to a building shuttle service that will pick them up and drop them off at major transit hubs in the city.
Adam Flatto, the CEO of The Georgetown Company, told Yahoo Finance one of the compelling reasons they decided to develop the property is the growth on the far West Side.
Companies including Ogilvy & Mather, Prada USA and Kenneth Cole currently have offices in the growing neighborhood. More coffee shops and restaurants, including Ousia, a high-end Greek restaurant by the owners of Oceana and Molyvos, are expected to open in the neighborhood.
“Hell’s Kitchen is a great live, work, play community with wonderful restaurants, services, transportation options and entertainment,” Flatto said in a statement. “This is a neighborhood that will continue to grow and we’re pleased to welcome Pershing Square to the building.”
Check out the renderings (Note: The interiors are not Pershing Square’s office).