Three Bleak Blocks of Third Avenue

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Three Bleak Blocks of Third Avenue
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.kvelsey writes about what the office space crisis has looked like for one stretch of the Upper East Side

The former headquarters of Girl Scouts of the USA, this class-B building sat 40 percent vacant for a while before being sold to Empire Capital Holdings and Namdar Realty Group for $72 million last year. These days, Empire and Namdar are two of the few investors on an office-buying spree, snapping up distressed buildings at bargain prices.The Durst Organization is finishing up a $150 million renovation of this 1969 Emery Roth & Sons–designed building.

The building is only 66 percent leased, and two major tenants have leases expiring this year. One of them, K2 Intelligence, moved to 730 Third. This tower signed a 27,000-square-foot lease last year with a large Manhattan law firm that was downsizing from 48,000 square feet in the Financial District — a win for this stretch but a loss for the office market overall.

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