One World Trade Center, soaring to 1,776 feet and set to open by year's end, is having difficulty attracting tenants, according to a report in the Wall Street Journal.
Developer The Durst Organization and the Port Authority of New York and New Jersey have reduced asking rents for larger tenants to $69/sf, down from $75.
The 3.1 million-sf project—originally known as Freedom Tower—is reportedly the most expensive office tower ever built, at a construction cost of $3.9 billion. It is currently about 55% leased, according to the Wall Street Journal. Current large deals in downtown New York City have been made in the $50 to $60/sf range, making One World Trade unusually expensive for the market. The building is the largest in the Western Hemisphere and was designed by David Childs of Skidmore, Owings & Merrill after an initial concept was developed in Daniel Lieskind's master plan for the site.
Meanwhile, developer Larry Silverstein is still contemplating building an office tower named 3 World Trade on the site, after completing the 2.3 million-sf 4 World Trade (opened last fall and now 51% leased). Insiders now doubt that the Port Authority will approve Silverstein's proposed deal in light of questions about the match between available space and potential demand.
Related Stories
Giants 400 | Oct 6, 2017
Top 90 K-12 architecture firms
Stantec, DLR Group, and PBK top BD+C’s ranking of the nation’s largest K-12 sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Giants 400 | Oct 5, 2017
On wings of gold: Alternative financing schemes are propelling the high-flyin’ air terminals sector
The $4 billion renovation of New York City’s LaGuardia Airport is the first major U.S. aviation project delivered using a public-private partnership (P3) model.
Giants 400 | Oct 4, 2017
Top 40 airport construction firms
Hensel Phelps, Turner Construction Co., and Skanska USA top BD+C’s ranking of the nation’s largest airport sector contractors and construction management firms, as reported in the 2017 Giants 300 Report.
Giants 400 | Oct 3, 2017
Top 30 airport architecture firms
Jacobs, Corgan, and Gensler top BD+C’s ranking of the nation’s largest airport sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Multifamily Housing | Sep 27, 2017
Pickleball, anyone?
Two-and-a-half million Americans are playing the game with the funny name.
Architects | Sep 25, 2017
Blending past, present, and future at a research center
The four-part mission of a garden of scientific research helped drive the design for the Beijing New Material Research & Development Center.
Architects | Sep 22, 2017
Design giants merge: FKP joins CannonDesign
The deal strengthens CannonDesign’s pediatric healthcare expertise, establishes presence in Texas and Ohio.
40 Under 40 | Sep 22, 2017
Meet the 40 Under 40 Class of 2017
These AEC stars are making their mark in business, philanthropy, and in their communities.
40 Under 40 | Sep 21, 2017
Meet the 40 Under 40 Class of 2017
These AEC stars are making their mark in business, philanthropy, and in their communities.
Office Buildings | Sep 20, 2017
Five Stantec offices move into one Fifth Avenue location
The new location provides the firm with 40,000 sf of space.