LM Cohen & Company

LM Cohen & Company (LMC), a rapidly growing accounting firm, sought a real estate advisor to evaluate its occupancy in New York City. Specifically, it was growing out of its space (with 7 years remaining on its lease) and required a space solution providing flexibility to accommodate for continued growth in a building that better reflected its image and clientele.

Spaces Commercial was retailed to market its sublease and to evaluate options in NYC.

Client:LM Cohen & Company
Services:Aquisition, Disposition, Financial Analysis
Building:1 W34th Street (Disposition)
         535 Fifth Avenue (Acquisition)
RSF:20,359 RSF

APPROACH

Analyzed and evaluated all viable blocks of space on the market in the three defined submarkets

Performed marketing analysis for the disposition of LMC’s office in the Garment District

Performed a labor force analysis of relocation options including financial analysis

Minimized work force disruption and political ramifications of relocation

Provided flexibility in LMC’s occupancy through identifying expansion opportunities within the building throughout LMC’s lease.

Evaluated prospective buildings capital stack to develop negotiating strategy

RESULTS

Executed a 14,000 RSF lease at 535 Fifth Avenue, a class A office property with a prestigious 5th Avenue address

  • Average rental rate was 22% below market
  • Secured 8 months of free rent after Landlord’s construction
  • Received a full high end build out with no out-of-pocket expense
  • Negotiated full renovation to the floors infrastructure to accommodate LMC’s needs
  • Negotiated a subsequent 7,400 RSF lease expansion at 30% below market rent

Executed a 5,964 RSF sublease on LMC’s behalf at 1 West 34th Street.

  • Secured a credit tenant to lease the space for the entire lease term
  • Subleased at a profit offsetting some of LMC’s moving costs
  • Negotiated delayed possession to accommodate for LMC’s occupancy at its new space