IBM will consolidate its New York City offices and relocate to One Madison Avenue, a commercial office tower renovation and expansion currently underway in the Flatiron District. Designed by Kohn Pedersen Fox and developed by SL Green Realty Corp, the project involves the construction of a 530,000-square-foot addition atop the original eight-story building, for a total of 1.4 million square feet of Class A office space.
The tech giant will occupy 328,000 square feet, spread across portions of the second and seventh floors, the entirety of floors eight through ten, as well as an exclusive lobby entrance on the ground floor. The lease was signed under 16-year terms at an unspecified price per square foot. IBM was represented by Cushman & Wakefield, while JLL represented the landlord.
“We are delighted to be making One Madison Avenue the new home for IBM in New York City, where we have such a proud history,” said Joanne Wright, IBM’s vice president of enterprise operations and services. “Our new downtown hub will create a modern and dynamic experience for our employees, our clients, and our ecosystem partners. We see New York as an extraordinary center of talent and innovation, and we are confident our new home at One Madison will help attract the kind of talent we need to keep IBM at the vanguard of innovation.”
One Madison Avenue. Photo by Michael Young
Located on the corner of Madison Avenue and East 23rd, the property encompasses an entire city block adjacent to the landmarked MetLife Insurance Company Tower. The newly constructed tower features floor plates ranging up to 35,000 square feet.
The tenth and 11th floors are specialty spaces with 22-foot ceiling spans and interior spaces that open out into a sprawling open-air roof deck. The podium and tower volumes offer additional terrace areas along Madison Avenue and 23rd Street.
Amenity spaces will include a 13,000-square-foot restaurant, a 10,000-square-foot artisanal food market, a 7,000-square-foot tenant lounge, a three-level fitness center, a 5,000-square-foot roof deck, and bike storage.
Rendering of outdoor areas at One Madison Avenue
One Madison Avenue is expected to debut by the end of 2023 and achieve both WELL and LEED Gold certification.
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IBM…there are anchor tenants, and then the are ANCHOR tenants.
Only 328,000 square feet for IBM’s New York City offices? Thirty years ago they occupied almost a million square feet in the IBM Building at 590 Madison Avenue.
Yes. But IBM isn’t what it once was. That was the 1980s when IBM was what first would come to mind when you said “high technology”. Recall their iconic “IBM PC”, launched in 1981, that kick-started the computer revolution – as we know it today. Now IBM is much diminished, at least in the minds of most people.
It’s so unfortunate to see where IBM is now.
I always regret the “modernization” of the tower’s second facade in 1964. That was a replacement due to the decay of the original marble.
bet ya are too young to ‘memba when computer companies meant Snow White (IBM) and the seven dwarfs (RCA, Univac, GE, Honeywell, CDC, Burroughs, and NCR)?
I don’t get the negative comments about IBM such as “It’s unfortunate to see where IBM is now.” I retired from IBM after 30 years in 1994. I know the company has changed and there were some things better some years ago. It’s a totally new world and IBM reacted. The BIG NEWS is IBM HAD to change to survive and thrive and I am proud of them IBM now has over 300,000 employees with revenue of about $62B. Kodak once had almost 150,000 employees, now has about 4,000. Xerox once also had about 145,000 employees and now has about 20,000 from what I looked up. I remember IBM quite fondly from one of the first COBOL programmers about 60 years ago, a salesperson during hard times, a PC user now for over 30 years, and an early Certified Consultant about 30 years ago. Few of us are what we once were but IBM is ranked 63rd on the Fortune 500 list. IBM is also ranked as a Fortune Sector Leader in Technology, and is among America’s Most Innovative Companies and the World’s Most Admired Companies. It’s too easy these days to find the negative. Be miserable elsewhere! Be proud here!