Yeshiva University Expands Healthcare Presence with New Herald Square Campus

Edited by: TJVNews.com

Yeshiva University (YU), a prestigious institution renowned for its commitment to academic excellence and values-driven education, announced a significant expansion into the healthcare field on Sunday. The university is set to establish a new, state-of-the-art campus in the iconic Herald Center building at Herald Square, Manhattan. This ambitious project underscores YU’s mission to shape the future of healthcare by addressing the growing demand for competent, caring, and qualified healthcare professionals in the tristate area and across the nation.

The new campus will occupy over 160,000 square feet of space within the 10-story Herald Center, a landmark property situated at the bustling corner of 34th Street and Broadway. This strategic location places YU at the heart of one of New York City’s most vibrant and densely-traveled districts, an area known for its 24/7 energy and a diverse mix of residential, office, retail, and entertainment uses.

Updated Post: Yeshiva University enlarges Midtown footprint with Herald Center deal https://t.co/wmKGHp7us8 pic.twitter.com/B0qe750vfk

— wolfsnifff Digital Media (@wolfsnifff) August 20, 2024

Yeshiva University has entered into a 32-year leasehold condominium agreement. This long-term lease provides the university with stability and a lasting presence in one of Manhattan’s most strategic locations, ensuring that the institution can develop and expand its healthcare education programs over several decades.

The lease encompasses over 160,000 square feet of space across multiple levels of the Herald Center building. Specifically, Yeshiva University will occupy floors 5 through 9, as well as portions of the mezzanine and ground floor areas. This substantial amount of space will allow YU to house classrooms, laboratories, administrative offices, and other facilities necessary for its growing healthcare programs.

The Herald Center, located at the corner of 34th Street and Broadway, is in a prime area of Midtown Manhattan. This location is situated in a bustling, high-traffic area, providing excellent visibility and accessibility for the university.

The Herald Center itself boasts a rich history, having been built in 1902 as the original Saks department store. It was acquired in 1981 by Morris Bailey and Joseph L. Jerome of JEMB Realty Corporation, a multigenerational real estate development and management firm with extensive assets across New York, New Jersey, Florida, and Montreal. The building’s prime location and historical significance make it an ideal setting for YU’s new campus, which is poised to become a central hub for healthcare education in New York City.

Yeshiva University will open a health sciences campus in Manhattan’s Herald Square neighborhood. Find out more about it. https://t.co/gFdN7cyqrV

— New York Business Journal (@NYBizJournal) August 20, 2024

Yeshiva University’s decision to establish a new campus dedicated to healthcare is a reflection of its strategic vision and commitment to advancing healthcare education. Rabbi Dr. Ari Berman, President of Yeshiva University, highlighted the significance of this expansion: “Yeshiva University’s new campus is an expression of our strategic growth as leaders in healthcare education, reflecting our global mission to improve lives and make a significant impact in the world.” He added that the new campus will also contribute to the economic and social vitality of the New York Midtown neighborhood, bringing new energy through student life, educational activities, and community engagement.

YU’s presence in this iconic location will also create opportunities for community engagement, including partnerships with local organizations, healthcare providers, and businesses. These collaborations will help to strengthen the bonds between the university and the community, fostering a sense of shared purpose and mutual benefit.

The expansion into the Herald Center is also part of a broader effort to strengthen its leadership in the health sciences. The university has already made significant strides in this area through its Katz School of Science and Health, which offers world-class graduate programs. These programs include the recently launched Nursing program, as well as Occupational Therapy and Speech-Language Pathology programs, which are designed to meet the growing need for healthcare professionals in these critical fields. Other programs include Biotechnology Management and Entrepreneurship, data analytics and visualization, and cybersecurity.

The school’s expansion into these diverse and high-demand fields reflects Yeshiva University’s strategic vision to address the critical needs of society while providing students with the education and skills necessary to thrive in their careers. As the new campus in Midtown Manhattan becomes operational, these programs will continue to grow, contributing to YU’s reputation as a leader in healthcare and STEM education.

Yeshiva University has long been recognized as a leader in health sciences education, with a strong track record of producing graduates who excel in their fields.

The new campus will provide Yeshiva University with the facilities needed to expand these programs further, offering state-of-the-art classrooms, laboratories, and clinical spaces that will enhance the educational experience for students and faculty alike. The university’s emphasis on a values-driven education ensures that its graduates are not only highly skilled professionals but also compassionate and ethical leaders in their fields.

The successful negotiation of the leasehold agreement was facilitated by Savills, a global real estate services provider. David Carlos, Vice Chairman of the Nonprofit Education & Government Group, played a crucial role in securing the deal. Mr. Carlos told the Jewish Voice on Tuesday that, “The Yeshiva University expansion to the midtown Manhattan area is a great project as it will facilitate in recruiting exceptionally talented students and faculty for their health sciences department.”

He added that, “from a commutation perspective, having a campus in Herald Square is a very convenient location for people coming in from the suburbs such as Long Island, New Jersey and Westchester. I know that this will help Yeshiva University in their trajectory of rapid growth, not only in the health science field but in every other perspective.”

Mr. Carlos also told The Jewish Voice that last year, he helped Yeshiva University in securing a 30,000 square foot location at 220 East 42nd Street in Manhattan for their school of nursing which is slated to open this fall. Mr. Carlos began his participation with YU while at Savills and is currently affiliated with Jones, Lang & LaSalle. “Yeshiva U is an incredibly entrepreneurial organization and I applaud the efforts that they are making in the realm of academic excellence,” he added.

Building ownership was represented in-house by Jacob Jerome and Morris I. Bailey of JEMB Realty Corporation along with Newmark’s Brian Waterman, Brent Ozarowski, David Berke and Kevin Sullivan.

The deal for the new space at 1293 Broadway was first reported by the New York Post, and while the exact terms of the lease have not been disclosed by JEMB Realty, the building’s owner, industry reports provide some context. According to a Cushman & Wakefield report, office asking rents in the neighborhood averaged $109.26 per square foot in the second quarter of 2024. This figure underscores the premium nature of the location, which is a prime spot for institutions looking to make a significant impact in New York City’s competitive real estate market.

Yeshiva University enlarges Midtown footprint with health sciences campus at Herald Center https://t.co/FxmyrYMESt

— Joseph Schwartz (@JJS4Tweet) August 19, 2024

However, JEMB Realty, faced significant financial pressure after ASA College, a for-profit institution that previously occupied a substantial portion of the building, lost its accreditation and was forced to shut down last year. This left JEMB with a substantial vacancy and a $255 million mortgage to manage, putting the building’s financial stability at risk. The situation was so precarious that it was reported by The Real Deal, highlighting the broader challenges faced by commercial real estate owners amid shifting market conditions.

This partnership between YU and JEMB Realty Corporation, however, is a testament to the university’s ability to forge strategic alliances that advance its mission.

Yeshiva University’s decision to establish a new campus at this location is not merely a matter of acquiring more space; it’s a calculated move to bolster its role in healthcare education. The university has been strategically growing its healthcare and life sciences programs, particularly since parting ways with the Albert Einstein College of Medicine in 2016. According to a report in The Commercial Observer, that deal, valued at $465 million, significantly reduced Yeshiva’s endowment but also freed the university to pursue new opportunities in healthcare education, a sector that has seen rapid growth and transformation in recent years.

Yeshiva University’s new campus at the Herald Center could be expected to open within the next few years, potentially around 2025-2026, assuming the project moves forward without significant delays. Further details will likely be provided by Yeshiva University as the project progresses.