One of the largest buildings in Manhattan is expected to be purchased by Google. The search engine giant already is a tenant in the building leasing nearly 500,000 square feet of the 2.9 million square foot building.
What makes this building so desirable besides it’s square footage is the location. In this INTERNET age wiring is as important as size and 111 Eight Avenue is already equipped with some of the best internet access and backup power generation in New York City. For you and I this does not matter much, for Google is is more important than any other consideration.
The property previously had served as an industrial property for the Port Authority of New York and New Jersey. In that role it had to be a 24/7 command post and be ready to run through any emergency. That aligns perfectly with the role Google serves in our society.
The 18-story Chelsea giant carries 2.9 million square feet of space and covers an entire city block — between Eighth and Ninth avenues from 15th and 16th streets.
At that price, the sale works out to around $690 per square foot, very respectable for 2010 but far less than the $1,500 a square foot that was commonplace in the heady days of 2007.
Google has made no secret of its growth plans for the Big Apple and already rents over 550,000 square feet in the building — considered the premier tech, entertainment, fashion, and media center in the city with tenants ranging from Nike to WebMD. via the NY Post
They make billions of dollars profit every year and buy companies like there is no tomorrow it doesn't surprise me they are prepared to pay 2 billion for a building although I would love to know how much the agent who brokers the deal receives in commission, must be 7 figures.
Google can’t seem to get its own address right for its NYC digs since a Google search places the building in Manhattan on a map but in Brooklyn in the address. Pretty funny actually. Better clean that one up!
That's probably one of the best investments they've made in the past year. I'm surprised other large companies haven't been more aggressive in purchasing prime commercial real estate given market conditions.
I think that Google should remain in the Virtual Universe and stay out of the bricks and mortar.
Google is now a real estate investor??? Geesh, what are they not involved in?
If you put a couple of smoke stacks on that building it would look like a cruise ship.