The Leukemia & Lymphoma Society is returning to lower Manhattan and more than doubling its office space when the New York City chapter moves to 61 Broadway during the first quarter of 2013. The world’s largest voluntary health agency dedicated to blood cancer research was first established in the Wall Street financial district in 1949.
The 55-staff chapter will have the entire fourth floor, about 24,000 square feet, under an 11-year lease at 61 Broadway. The organization will be leaving 475 Park Ave. South, where it has been a tenant since 2002, leasing 11,000 square feet.
Broad Street Development’s affiliate, 61 Broadway Owner LLC, has owned the 33-story, 700,000-square-foot pre-war class-B office building since 2004.
Christy McElhaney, counsel at Skadden, Arps, Slate, Meagher & Flom, represented the tenant.
David Lachtman, a partner at Platte, Klarsfeld, Levine & Lachtman, represented the landlord.
“We are returning downtown because we were able to secure a great deal more space at a significant cost savings,” Michele Przypyszny, the society’s executive director, and Jodi Waterman, its director of operations, said in a joint email. “And of course, less costs incurred equals more funds for our mission.”
Due to the growth of the chapter’s programs, events, patient services and staff, the organization sought a building that was accessible to public transportation and that could provide more physical space, including larger conference room and storage spaces.
The Leukemia & Lymphoma Society’s national office is in White Plains and there are 61 chapters, including those in the United States and Canada. In fiscal year 2011, the nonprofit health group invested more than $76 million in blood cancer research, according to its website.
A capital project to modernize 61 Broadway is expected and elevators have been upgraded along with a number of improvements to retail space that was leased about two months ago by Trinity Place Department Store for a flagship store.
Broad Street Development was able to meet the needs of the chapter with a “build-to-suit” office, said Daniel Blanco, Broad Street’s principal. The asking rate at 61 Broadway is in the mid-$30s per square foot.
“We gained a significant cost savings and will enjoy a 41 percent decrease in rent per square foot,” Przypyszny and Waterman said.
In addition, the landlord is providing “architectural services and a competitive rent-free package,” Blanco said. The chapter will also qualify for incentives as a tenant in downtown Manhattan.
The group’s mission is to focus on a cure for leukemia, lymphoma, Hodgkin’s disease and myeloma and improve the quality of life of patients and their families. Its origins stem from the Robert Roesler de Villiers Foundation, named for a 16-year-old son of Rudolf and Antoinette de Villiers, who lost his life to leukemia in 1944, according to its website. The New York City chapter opened 10 years later.
The organization’s New York City office was closed for one week after Hurricane Sandy, but staff members working remotely were able to provide patients with information and support via an email and phone networks.
The New York State Commission on Judicial Conduct is a tenant at 61 Broadway. The building’s roster also includes a number of law firms, including Furman Kornfeld & Brennan; Sichenzia Ross Friedman Ference; White Fleischner & Fino; Lewis Johs Avallone Aviles; Lovell Stewart Halebian Jacobson and Koehler & Isaacs.
Andrew Stein, a managing principal at Vicus Partners, and Lynn Drake, president of Compass Commercial LLC/ITRA Global in Detroit, acted on behalf the organization.
David Israni, senior managing director, and leasing associate Ramona Huegel, at Broad Street Development internally served the landlord.
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