WeWork, which provides shared workspaces for technology startup subculture communities, and services for entrepreneurs, freelancers, startups, small businesses and large enterprises, has found new digs.
The company, founded in 2010 and based in New York City, has reportedly signed a lease for a 212,387 square foot space located at 620 Sixth Ave. between West 18th and 19th streets.
The space was formerly occupied by Spotify and Mediaocean offices. According to the New York Post, “The JLL Team of Alexander Chudnoff, James Wenk and Kenneth Siegel, with the support of Kirill Azovtsev and Dan Turkewitz, represented Spotify USA in the disposition to the RXR ownership in part of the third and the entire seventh floor totaling 124,550 square feet. Spotify moved to Four World Trade Center. A Savills team represented Mediaocean in negotiations with RXR to give up its 88,387 square feet on the sixth floor. It is moving to 120 Broadway.”
The space at 620 Avenue of the Americas “marks the eighth lease WeWork announced in Manhattan this month, including 67,858 square feet at 419 Park Avenue South, 52,477 square feet at 550 Seventh Avenue and 110,500 square feet spread across four Midtown buildings,” wrote Commercial Observer. “WeWork also announced on May 9 that it partnered with RXR to manage a 90,000 square foot coworking space at 75 Rockefeller Plaza, where it will split the cost of renovations and share revenue with RXR, Crain’s New York Business reported.”
The Los Angeles Times reported that WeWork Cos. is currently in the midst of discussions with various banks about arranging a $2.75-billion credit line ahead of the planned initial public offering, according to people with knowledge of the matter.
“JPMorgan Chase & Co. is leading the potential financing, said the people, who asked not to be identified because the plans aren’t public. Representatives for the bank and WeWork declined to comment,” the Times wrote. “WeWork, which rents office space and desks to workers around the world, said in April it had filed paperwork confidentially with the U.S. Securities and Exchange Commission for an IPO. It could be the year’s biggest offering after Uber Technologies Inc., which raised $8.1 billion but has seen shares slide since its May 10 debut.”
Investors are noting that WeWork’s expansion has, indeed, been impressive. Last week, executives announced plans to open a fifth Philadelphia space at 11th and Ludlow streets, in a building appropriately called 1100 Ludlow.
According to Technically Philly, the company “will occupy the seventh and eighth floors of the East Market development project, covering 50,5014 square feet. The space is expected to open in the fall of 2019. The new site — just across the street from The Yard’s first Philly location at 21 S. 11th St. — is the fifth local WeWork space since the global company expanded into Philadelphia in 2016.”
