When Franklin Templeton signed a nearly 350,000 square foot lease at One Madison Avenue in SL Green last week, it wasn’t to reduce the amount of space it has at seven other Manhattan locations.
Unlike many business “consolidations” that are primarily a way to save on rent, Franklin Templeton’s move will only slightly reduce its overall space, brokerage sources said.
The biggest advantage is to dedicate specific floors at the company’s new address for its various operational units.
“They don’t just put everyone under one roof, it’s a whole new workplace strategy,” an insider said.
Jenny Johnson, CEO of Franklin Templeton, said the location “provides the ideal combination of dedicated space for our specialist investment managers and collaborative space for our broader society.”
They also benefit from state-of-the-art construction on floors 11-22, some of the glass-clad floors that SL Green is adding to the original nine floors of the structure as part of a restoration and expansion. of $2.3 billion.
The deal brings One Madison Avenue to 55% lease, following previous agreements with IBM and Chelsea Piers Fitness. The tower is expected to open in November 2023.