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Empire State Realty Trust Secures Major Lease Expansion with Burlington Stores Inc.

Empire State Realty Trust (ESRT) has secured a significant lease expansion with Burlington Stores Inc. at 1400 Broadway in Manhattan. This expansion demonstrates the resilience of New York City's commercial real estate market and the building's appeal, as Burlington Stores now occupies 170,763 square feet. The long-term lease reflects the enduring partnership between ESRT and Burlington Stores, as well as the ongoing transformation within the city's office market.

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Bijay Laxmi
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Empire State Realty Trust Secures Major Lease Expansion with Burlington Stores Inc.

Empire State Realty Trust Secures Major Lease Expansion with Burlington Stores Inc.

In a significant move that underscores the resilience of New York City's commercial real estate market, Empire State Realty Trust (ESRT) has secured a major lease expansion with Burlington Stores Inc. at 1400 Broadway in Manhattan. The retail giant will now occupy a total of 170,763 square feet, spanning five full floors of the Class A high-rise building, marking its continued commitment to the location since 2010.

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A Testament to Enduring Partnership

This expansion is the culmination of a long-standing relationship between ESRT and Burlington Stores, with the retailer having first leased space in 2010. The new 16-year lease term for the additional 67,865 square feet is coterminous with the current office space lease. This deal was facilitated by representatives from Colliers International and Newmark, alongside ESRT's Vice President.

The expansion is not only a testament to the enduring partnership between ESRT and Burlington Stores but also a reflection of the building's appeal. 1400 Broadway, a LEED Gold-certified property, was acquired by ESRT in 2014 and has since undergone a $45 million renovation. The upgrades included a redesigned lobby, new entrance doors, and additional amenities like green spaces and an outdoor rooftop.

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A Prime Location in Manhattan

Situated along the Broadway Pedestrian Plaza in the commuter triangle, 1400 Broadway offers convenient access to nearby transportation, dining, lodging, and entertainment. The 37-story tower boasts a range of floorplates and retail space, housing a diverse roster of tenants including IPG, Kohl's, and Flagstar Bank.

This lease expansion aligns with other recent ESRT lease agreements, including a new tenant at 250 W. 57th St. and lease renewals at the Empire State Building. It further highlights the robust demand for office space in Manhattan, where the average listing rate significantly exceeds the national average, and the vacancy rate is lower than the country's average.

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A Bright Future for NYC Office Spaces

As Burlington Stores expands its footprint at 1400 Broadway, it sends a clear message about the future of office spaces in NYC. Despite the rise of remote work, there remains a strong market for high-quality office spaces. This expansion reflects the ongoing transformation within the city's office market, indicating a trend of anchor tenants consolidating and expanding in strategic locations.

With this latest deal, Empire State Realty Trust continues to demonstrate its ability to attract and retain top-tier tenants, reinforcing its position as a leading player in New York City's dynamic commercial real estate landscape.

As Burlington Stores settles into its expanded space at 1400 Broadway, it joins a growing list of companies that are betting on the enduring appeal of New York City's commercial real estate. In doing so, they are not just investing in square footage; they are investing in the city's future.

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