Theory Holdings signs 79,000 s/f lease at 320 West 13th St.

In a major boost to the ongoing upgrade and repositioning of its landmarked Meatpacking District office building at 320 West 13th St., owner William Kaufman Organization has completed a long-term 79,000 s/f leasing transaction with the prominent fashion house, Theory Holdings LLC, for multiple full floors at the historic property. The contemporary apparel and accessory designer will occupy a portion of the ground floor and the entire 2nd, 3rd and 4th floors of the building, which is situated at the intersection of West 13th, Horatio and Gansevoort Sts. in the Greenwich Village Historic District. Theory expects to relocate from 40 Gansevoort St. in the first quarter of 2015. The closing of the lease transaction comes shortly after the historic property was officially renamed 2 Gansevoort St., an address that reflects not only the transformation of the building, but the changing nature of the Meatpacking District, which is attracting a host of creative/technology companies to its boundaries. The soon-to-be-modernized 2 Gansevoort, which was built in 1912 and originally designed as a warehouse and trade school, was acquired by the William Kaufman Organization in 1948. As the owner/developer's first purchase in the Meatpacking District, it was a notable addition to the company's portfolio of ground-up Class A buildings, which currently includes 777 Third Avenue, 767 Third Avenue, 437 Madison Avenue, 747 Third Avenue and 77 Water Street. According to Michael Lenchner, Vice President and Director of Leasing for Sage Realty Corporation, the leasing and management division of the William Kaufman Organization, the transaction with Theory comes on the heels of an ongoing capital improvement program that is transforming and revitalizing the landmarked building at 2 Gansevoort, including renovations and upgrades to the building's lobby, a complete window replacement, elevators, access management system and main entrance. "Combining style and state-of-the-art features, moving to 2 Gansevoort allows Theory to showcase their contemporary brand in a building with history and character while maintaining their presence in the Meatpacking District," stated Lenchner. "The building's prized location along the Silicon Alley corridor places it at the epicenter of New York City's booming creative and technology hub." Brian Waterman and Lance Korman of Newmark Grubb Knight Frank represented the tenant in the long-term transaction, while Mr. Lenchner represented the building's ownership in-house. Asking rents at the property are in the $90 to $115 per square foot range. Some of the current tenants at the 100% occupied building include Ennead Architects, CRT Tanaka and White Columns Gallery. According to Mr. Lenchner, the entire 7th floor comprising of 23,000 rentable square feet will become available in February 2016, as well as 18,842 square feet on a portion of the 5th floor in January 2017. "We want to encourage our tenants, both prospective and existing, to grow and expand their footprints in our building," he added. Founded in 1997 by Andrew Rosen and Elie Tahari, Theory is a contemporary fashion label which sells clothes and accessories for men and women. The company maintains 16 signature retail stores as well as 13 outlet stores in the United States. The label is sold at major high-end retailers such as Bloomingdale's, Lord & Taylor, Nordstrom, Saks Fifth Avenue, Neiman Marcus and Barney's New York. Theory is owned by Fast Retailing of Japan.