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
| Aug 11, 2010
Report: Fraud levels fall for construction industry, but companies still losing $6.4 million on average
The global construction, engineering and infrastructure industry saw a significant decline in fraud activity with companies losing an average of $6.4 million over the last three years, according to the latest edition of the Kroll Annual Global Fraud Report, released today at the Association of Corporate Counsel’s 2009 Annual Meeting in Boston. This new figure represents less than half of last year’s amount of $14.2 million.
| Aug 11, 2010
AIA to Congress: Act now to jump start building sector of economy
Tampa-based architect, Mickey Jacob, FAIA, unveiled the American Institute of Architects’ (AIA) Rebuild & Renew plan for both short- and long-term economic recovery to the House Committee on Small Business at a hearing October 7th.
| Aug 11, 2010
National Intrepid Center of Excellence tops out at Walter Reed
SmithGroup and The Intrepid Fallen Heroes Fund (IFHF), a non-profit organization supporting the men and women of the United States Armed Forces and their families, celebrated the overall structural completion of the National Intrepid Center of Excellence (NICoE), an advanced facility dedicated to research, diagnosis and treatment of military personnel and veterans suffering from traumatic brain injury.
| Aug 11, 2010
Jacobs, HDR top BD+C's ranking of the nation's 100 largest institutional building design firms
A ranking of the Top 100 Institutional Design Firms based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
Walt Disney Family Museum planned in San Francisco
Construction is under way on a new museum dedicated to the man behind the Disney empire. Set to open this fall in San Francisco, the Walt Disney Family Museum will feature 10 galleries, starting with Disney's beginnings on a Missouri farm.
| Aug 11, 2010
SAFTI FIRST hires Tim Nass as National Sales Manager
SAFTI FIRST, a leading USA manufacturer of fire rated glazing and framing systems, is pleased to announce the addition of Tim Nass as National Sales Manager. In his new role, Tim will be working closely with architects and contract glaziers in selecting the appropriate and most economical fire rated glazing solution for their project. He will also be coordinating SAFTI FIRST’s extensive network of architectural representatives throughout the United States.
| Aug 11, 2010
NCARB welcomes new board of directors
The National Council of Architectural Registration Boards (NCARB) introduces its Board of Directors for FY10, who were installed during the culmination of the Council’s 90th Annual Meeting and Conference in Chicago.