Luxury coworking, virtual and on-demand office provider Jay Suites announced the latest addition to its growing portfolio — a 60,000-square-foot lease in Chelsea that will serve as the company’s 10th location.
What’s more, Jay Suites Cofounder said the price of the new lease was an actual bargain.
As per Juda Srour’s statement, the lease with the Weinmann family at 159 West 25th Street was signed at the bargain price of $30 per square foot. Recent reports by CBRE put the average Midtown South asking rent during the third quarter of this year at $82.50, making Jay Suites’ new lease price even more impressive.
Srour, who mentioned that he had been actively hunting bargains in the market, said:
“We only take deals that are very aggressive. We’re finding rates that you’re never going to see again. We’re talking below 2009 and 2010 [prices].”
The company’s 10th location will be split into two, as a way to include both the Jay Suites coworking business and the Jay Conference flag of events space. Not only that, but the space will also benefit from the rooftop area, a recreational perk for all users of the future business spot.
This new lease comes after two other event spaces signed by Jay Suites at the beginning of this year: a lease for an events space in Bryant Park and a coworking space located at the Trump Organization’s 40 Wall Street. are signs of the company’s ongoing expansion.
Of course, the pandemic negatively influenced the demand for flexible workspaces and events. Even giant operators in the market announced losses in profitability, as well as their intent to close a relatively large number of such spaces to curb costs. However, it appears as though Jay Suites is on an upward trajectory, building a hefty portfolio of commercial real estate that’s often based upon low-cost leases and smart investments.
