Silverstein Completes Deal With GroupM for 3 World TradeDavid M. Levitt
Silverstein Properties Inc. signed an agreement with advertising firm GroupM Inc. to be the anchor tenant at 3 World Trade Center, helping push forward development of the third skyscraper at the lower Manhattan site.
GroupM, the London-based media-buying and planning division of WPP Plc, plans to move about 2,400 employees from several midtown Manhattan locations when the tower opens in 2017, Silverstein said in a statement posted on its website. The 20-year lease for 516,000 square feet (47,900 square meters) will enable Silverstein to move ahead with the financing and construction of the 2.5 million-square-foot building, the company said.
The agreement “is another in a string of huge milestones at the World Trade Center,” Larry Silverstein, chief executive officer of Silverstein Properties, said in the statement.
The tower would join 4 World Trade Center, which opened last month, and 1 World Trade Center, the Western Hemisphere’s tallest building, scheduled for completion next month. The Port Authority of New York and New Jersey owns the 16-acre (6.5-hectare) site and leases three skyscraper plots to Silverstein Properties. The authority is building 1 World Trade in partnership with the Durst Organization.
Under a 2010 agreement, Silverstein had to lease at least 400,000 square feet at 3 World Trade Center and raise at least $300 million of financing before qualifying for government subsidies and loans.