If you improve and amenitize it, tenants will come.
That appears to at least be true for Rudin, which scored a two-floor lease for 55,000 square feet at 3 Times Square, the New York Post reported. JAMS, a provider of arbitration and mediation service, is relocating from 620 Eighth Avenue to the top of 3 Times Square, a move expected to take place in next year’s fourth quarter.
The deal brings occupancy at Rudin’s building to 75 percent. An asking rent for the 11-year lease was not disclosed; the average asking rent for Midtown office space in the second quarter was $88.50 per square foot, according to Cushman & Wakefield.
A CBRE team including Ken Rapp, Brendan Herlihy and Ron Wade represented the tenant, according to the Commercial Observer, while a Cushman & Wakefield team including Ron LoRusso, Lou D’Avanzo and John Cefaly represented the landlord.
Michael Rudin, who spearheads the family company’s commercial real estate efforts, previously pointed to the building’s growing momentum as a result of renovations, including a redesigned lobby, modernized elevator and entry systems and the addition of a fitness center, dining area and conference space.
Last year, advertising firm Spectrum Reach, a division of Charter Communications, signed a lease for 56,000 square feet. In 2022, Touro University signed a lease to consolidate several of its schools into 250,000 square feet at 3 Times Square. Adding 66,000 square feet a year later to bring its footprint at the property to 310,000 square feet.
Near the end of 2022, accounting advisory firm Anchin, Block & Anchin signed a 10-year, 45,000-square-foot lease for the tower’s 25th floor and part of the 24th. That’s the same year, Rudin and co-owner Thomson Reuters — itself a tenant — secured a $415 million refinancing package spearheaded by JPMorgan.
Leasing activity in Manhattan surged in July, according to Colliers, as tenants signed deals for 3.87 million square feet. That represented a 27 percent increase from June and a 28 percent year-over-year rise.
Available office space, meanwhile, tightened to 66 million square feet, the lowest supply level since September 2020 and a significant decline from the post-pandemic peak in 2024.
— Holden Walter-Warner
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