Property & Building Corp. inked a 122,000-square-foot lease at 10 Bryant with the law firm Baker McKenzie, another sign of the building’s comeback after its anchor tenant HSBC left in 2024.
The white-shoe law firm is expanding its existing presence at 10 Bryant, formerly known as the HSBC building, to seven and a half floors, or about 15 percent of the building, according to filings on the Tel Aviv Stock Exchange. According to a Tel Aviv Stock Exchange document, the firm was leasing 106,000 square feet of office space in the building in 2023.
Baker McKenzie will pay a rent of around $150 per square foot for the space, about 66 percent more than Midtown’s average Class A office rent of $90.36 per square foot, according to Colliers’ first-quarter office market report.
According to sources, Baker McKenzie was also considering relocating to 343 Madison Avenue but opted to expand at 10 Bryant.
JLL was the leasing broker.
Baker McKenzie will become the 30-story building’s biggest tenant behind Amazon.
Property & Building Corp is in the process of replacing the 60 percent vacancy caused by HSBC’s 2024 move to Tishman Speyer’s The Spiral. Last year, Amazon inked a 15-year lease for 330,000 square feet. PBC also inked a 52,000-square-foot lease last year with the health and fitness club Life Time, which will open by 2027. With this latest lease the 30-story building will be 100 percent occupied.
10 Bryant consists of a 30-story tower built in 1985 and a connected 10-story Beaux Arts building known as Knox Building. The buildings are a case study for the resurgence of Manhattan’s office market.
Ultra-amenitized buildings like Soloviev’s 9 West 57th Street have recorded record rents exceeding $320 per square foot. Now Class A office buildings a step down such as 10 Bryant are also seeing record numbers and leases as office supply tightens.
PBC listed the tower for sale in 2021 and received offers from Waterman Clark, Commerz Real, the Chera family’s Crown Acquisitions and Hines.
Andrew Chung’s Innovo Property Group submitted the winning bid of $855 million. But Chung failed to close, leading PBC to refinance its debt and modernize the building. PBC plans to spend $43 million on the repositioning.
In 2022, PBC secured a refinancing with JPMorgan. In 2024, it replaced the JPMorgan loan with $385 million in financing from the Israeli bond market.
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