The Kaufman Org. begins leasing at 119-125 West 24th Street

The Kaufman Org., which specializes in the leasing and management of premier office space in New York City, has begun leasing at 119-125 West 24th St. in Midtown South's Flatiron District, one of the most sought-after office markets in the country. The 12-story, 146,000 s/f former Ring portfolio building presents potential tenants with the rare opportunity to lease an entire building and create a branded flagship office. Average asking rents at the now-vacant building are $67 per s/f. In addition to the office spaces, which will be available for possession July 1, Kaufman Organization is creating a new, 8,502 s/f retail space on the ground floor of the building; ideal for a restaurant looking to create a signature eatery along one of the neighborhood's most trafficked streets. Asking rent for the space will be approximately $115 per s/f. "The availability rate in this submarket closed at a city-low 7.5% in 2013, while demand for office space in this market is soaring. Adding 119 West 24th Street to the shrinking office supply of this 98% leased office market is vital to new and expanding businesses in the neighborhood," said Grant Greenspan, principal at the Kaufman Organization. "Since tech, creative and financial firms began calling the neighborhood home we have continued to see incredible demand from companies looking to expand into multiple, full-floor spaces." Kaufman will execute an extensive renovation at 119-125 West 24th St. that will include upgrades to the building's systems, lobby and elevators. The building originally had a freight elevator lobby, which has since been converted to a second lobby with automatic passenger elevators. As a result, 119 West 24th St. has the ability to offer naming rights to a tenant that can occupy 50,000 s/f plus, thus creating a building within a building. The property has already garnered significant interest from various types of tenants despite being on the market for only a short period of time. The Kaufman Organization has a strong track record of acquiring and repositioning properties. The firm's thorough capital improvement programs at 100-104 Fifth Ave. and 27 West 24th St. have yielded great success, attracting name-brand new-media and creative firms—both buildings remain near 100% leased. Kaufman plans to execute a similar multi-million dollar renovate-and-reposition strategy at three additional former Ring portfolio buildings recently acquired via a 99-year net-lease.19 West 24th St., 13 West 27th St. and 45 West 27th St. will each be transformed over the next 18 months as part of an extensive capital improvement program that will include renovating the lobbies and retail frontages, façade restorations, the installation of state-of-the-art elevators and building systems and the installation of secure telecommunications risers to funnel high-speed broadband to each floor. "In order to attract innovative companies, we have to provide them with the types of spaces and amenities that will support their growth and technology needs," said Greenspan. "This means curating retail tenants that serve as both an extension and an expression of the building's occupants, providing multiple high-speed internet and communications providers to tenants, making sure a property is energy-efficiency and that the lobby is something that goes beyond a marble-clad security desk and turnstiles." Greenspan oversees the leasing efforts at 119-125 West 24th St. with Jessica Kosaric of the Kaufman Organization. With Kaufman's marketing team, they will rebrand the entire portfolio by launching an interactive website in conjunction with advertising and social media campaigns. The website will be the nexus for potential tenants and brokers looking for available spaces, floor plans, and neighborhood amenities. The firm continues to seek out additional acquisition and management opportunities as the family-owned company further establishes itself as a leader in transforming under-performing buildings into successful commercial real estate assets.