Real Estate Deals – Chocolatier Tempts The Donald

CRAIN’S NEWYORK STOCKS SOAR IN 2004 LED BY TURNAROUND FIRMS  PAGE 3 Real estate deals:  Merchandisers get a gift Page 3 NEW YORK BUSINESS Jan. 3-S, 2005 Price: ».W VoL»], ho.1 www.newKtir'tusinejs.cem 'There will be a big reunion,* i Davit! Zrike, president of the Fifth Avenue Association. 11 is ilys wholesale firm, Zrike Co., relocate into the new building, lot of the tenants at 225 have already and are working out of (nonary offices.”  Cushman Sc Wakefield Inc. resented Gift Mart, and A Williams represented Health Insurance Plan New York, which was letting the space. 1 low-r, building owner Vor-  0 Realty Trust agreed to release P from its obligation and signed rect lease with Gift Mart. Ask rents average S38 a square foot Z&W real estate broker David icnbloom had tipped off the up that its Fifth Avenue home ild be converted to condomini • s and that its. members would n be in need of new space.  \fter looking at an ever-inking number of large blocks nidtown, the wholesalers set  ! on the Penn Station area space its accessibility to the conven-  1 ccntcr and its trade shows, i its layout. The building oncc casing data  NG INFORMATION' leasing deals in Manhat-n Crain's New York Bust-ith information on  : list should phone Keith t2, or e-mail him at i. 28. housed an Orbach's department store.  The deal was especially complex because Gift Mart is taking over offices previously rented by HIP, which moved downtown to cheap er space at 55 Water St. in the fall. In the past nine months, HIP has disposed of 75% of the 400,000 square feet that it had leased.  “‘Based on the level of interest, w'c're confident that we ll lease the remaining 100,000 square feet of space,” says Brian Given, vice chairman at GVA Williams. CH0C0LATIER TEMPTS THE DONALD  ■ Chocoholic Donald Frump is about to find a fix an elevator ride away.  Th is month, Godiva is moving into Mr. Trump's namesake tower at 725 Fifth Ave. Godiva signed a 10’ year lease to rent about 200 square feet of lobby space for a kiosk. Broker Kim Mogull represented both sides in the deal.  Asking retail rents in that area typically average more than $1,000 a square foot. That means that over the term of the lease, Mr Trurnp could glean S2 million for lobby space that he was simply vis ing to house the building’s visitor directory.  “Were putting a clause in the lease prohibiting Gotliva from selling Donald any chocolate,” Ms, Mogull claims facetiously. “We need him lean and mean, ready for his next season of firings,”  Godiva also is one of five candy companies bidding to design a Donald Trump-inspired sweet, and the lease might help it win the contract.  Mr. Trump adds that passing Godiva every day will require restraint.  "It’s very dangerous having it near the elevator,” says Mr. Trump. LEGAL EAGLES BUIL0 BIGGER NEST  ■ A lawr firm signed a deal to keep and expand its current office space through 2025.  King & Spalding is extending its lease for 151,000 square feet of offices at 1185 Sixth Ave„ between West 46th and West 47th streets, for a nor her 12 years. The firm also rented an additional 52,000 square feet. Former CB Richard Ellis broker Richard Bernstein, who recently moved to Trammell Crow, represented the law firm in the deal, and the building’s ownership, Rcckson Associates, represented itself. Asking rents average 160 a square foot.  With rental rates expected to rise, Rcckson could have waited to sign a more lucrative tenant when the law firms lease expired. But the landlord decided that signing a long-term deal would improve the buildings value.  “Renewing and expanding their presence in this building is completely consistent with our operating and investment objectives," says Philip “Tod* Waterman, Rccksons executive vice president. The firms New York-based attorneys grew by 205 in the past year.  SECURITIES FIRM FINDS NEW HAVEN  ■ One of the city s few remaining privately held investment banks is about to relocate to new midtown  offices.  Gilford Securities signed a 10-year lease to rent 12,200 square feet at 777 Third Are,, between East 48th anti East 49th streets. Sage-GroupAssociatcs represented the owner, the William Kaufman Organization, and G.E. Grace represented the bank. Asking rents average $55 a square foot,  SageGroupAssociates has leased the entire Kaufman-owned buildings at 437 Madison Ave. ” We've started an exclusive list of potential tenants," says Gregor}' Gang, SageGroup Associates managing director. ■ e move for Gift Mart 7 W. 34TH ST. is the new home of The New York Gift Mart, which moved seven blocks up Fifth Avenue. ds, oil issues help fire up NY stocks