October 31, 2023 9:00 AM
Newmark Retail, in collaboration with DivcoWest, announces that the remarkable transformation of 540 Madison’s retail space is now 100% leased. What was once an oversized bank branch spanning 9,266 square feet was ingeniously reimagined into three distinctive storefronts to accommodate a mix of high-end retailers. The latest tenants to sign at the asset are H.Stern and Bang & Olufsen will join luxury watch retailer Grand Seiko, bringing the retail portion of 540 Madison to 100% leased. Newmark Vice Chairman Ariel Schuster and Director Mitch Heifetz serve as the exclusive leasing agents for the retail component and represent ownership on both transactions.
“This transformation is a testament to the vision and collaborative efforts between Newmark and DivcoWest. We’ve turned an oversized bank branch into an exquisite retail destination, exceeding expectations and achieving an impressive lineup of high-end retailers,” said Schuster. “Our collaborative efforts have successfully come to fruition with the signing of HStern and Bang & Olufsen, bringing the retail portion asset of property to 100% leased.”
Details of the more recent transactions include:
- Bang & Olufsen is among the world’s top high-end consumer electronics companies that designs and manufactures audio products, television sets and telephones. The Danish-founded company signed a long-term lease to occupy a 1,557-square-foot retail outpost at 540 Madison, which features frontage on East 55th Street.
- H.Stern is the U.S. outpost of a posh, Brazil-based jewelry company selling high-end pieces, including a robust collection of watches. The tenant signed a long-term lease to occupy a 1,450-square-foot space at the Madison Avenue location.
“With 540 Madison’s premier location and the repositioning of the office tower completed, we believed securing the right luxury retailers at the ground level was critical to the building’s transformation,” said Ariel Aber, Managing Director and Head of New York Investments at DivcoWest. “We look forward to long-term partnerships with H.Stern, Bang & Olufsen and Grand Seiko and thank the Newmark team for their commitment and collaboration on the successful leasing program.”
540 Madison is a newly renovated 292,000-square-foot, Class A office tower with ground-level retail at the corner of Madison and 54th Street, one of the city’s most sought-after neighborhoods. The building is just two blocks from the E, F and M subway lines at the 5th Avenue – 53rd Street Station. Nearby attractions include The Saint Regis Hotel, Paley Park, The Paley Center for Media, The Museum of Modern Art, Saint Patrick’s Cathedral, Rockefeller Center and Radio City Music Hall.
About DivcoWest
Founded in 1993 by Stuart Shiff, DivcoWest, a DivCore Capital company, is a vertically integrated real estate investment firm headquartered in San Francisco, with offices in Austin, Cambridge, Los Angeles, Menlo Park, Washington DC, and New York City. Known for long-standing relationships and experience across the risk-spectrum in innovation markets, DivcoWest combines entrepreneurial spirit with an institutional approach to commercial real estate. DivcoWest aims to create environments that inspire ingenuity, promote growth, and enhance health and well-being. Since inception, DivcoWest and its predecessor have acquired approximately 59 million square feet of commercial space - primarily throughout the United States. DivcoWest’s real estate portfolio currently includes existing and development properties in the office, R&D, lab, industrial, retail, and multifamily spaces. www.divcowest.com
About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ending December 31, 2022, Newmark generated revenues of approximately $2.7 billion. As of June 30, 2023, Newmark’s company-owned offices, together with its business partners, operate from approximately 170 offices with over 7,400 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
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