The Battery Park City Authority is about to sign a five-year renewal lease for 7,400 square feet in the Regatta building on W. Thames St. for $65 per square foot.
The authority planned to do the renewal last fall, but Vice Chairperson Charles Urstadt objected to the $65 figure, saying that less expensive space could be found. The authority asked CB Richard Ellis to look into alternatives, but the brokerage firm told the board this week that there weren’t any better options.
“It is within the range of market rents,” said Tim Sheehan, a senior vice president with CBRE. Sheehan told the B.P.C.A. board that $65 per square foot for a ground-floor retail space is a little on the high end in Battery Park City, but a five-year renewal option that is built into the proposed lease, along with an assurance of flat maintenance costs, make it a good deal.
The authority won’t need all 7,4000 square feet for the next five years, so the lease will include an option allowing the authority to reduce its holding and rent. But the authority will definitely maintain the community room that is there, even once the new B.P.C. community center opens in a couple years, said Jim Cavanaugh, president of the B.P.C.A.
The authority board unanimously approved the lease at a meeting on Tuesday (Urstadt was absent) and plans to sign the lease soon.
— Julie Shapiro
