KKR Takes 220K SF Hudson Yards Office Vacated By Meta
KKR can't get enough of 30 Hudson Yards.
The private equity giant signed a 220K SF lease for the 1,270-foot-tall tower where it already owns the top 10 office floors as well as a majority stake in its observation deck, Bloomberg reports. The lease is for space that Meta, Facebook's parent company, is vacating as part of its vast cost-cutting measures.
The lease brings KKR's footprint in the 2.6M SF supertall to more than 560K SF. WarnerMedia is the building's largest tenant, leasing 1.4M SF from developer Related, but it placed nearly 500K SF on the sublease market last year.
Facebook signed a 1.5M SF lease across three Hudson Yards buildings in 2019, including more than 260K SF at 30 Hudson Yards, New York City's sixth-tallest building and third-tallest office tower. Meta decided to give its space back at 30 and 55 Hudson Yards last year, declining options to hold onto the space past 2024, Bloomberg reported.
KKR bought its 343K SF office spread at 30 Hudson Yards in 2015 to help Related Cos. fund construction of the tower. It bought a majority stake in The Edge observation deck, the tallest in the Western Hemisphere, in 2021 for $500M. JLL Vice Chairmen Joe Messina and Steven Rotter represented the private equity firm in its new lease.
The company decided to expand in its current building after the news of Meta's pullback broke. It had reportedly been close to striking a 300K SF deal to expand into Tishman Speyer's Morgan North redevelopment of a Chelsea postal facility but scuttled those talks in November. KKR had planned to consolidate offices it leased at 10 Hudson Yards and 4 World Trade Center into the space, Insider reported.
The deal comes on the heels of another major lease announcement in Manhattan in the New Year: Earlier this week, Fox and News Corp. renewed their leases at 1211 Sixth Ave. for nearly 1.2M SF combined.
