Welcome to CompStak Courier, your one-stop shop for interesting CRE news for the week.
NEW YORK CITY: Misys inked a deal for 23,492 square feet at RFR Realty's 285 Madison Avenue
Misys, a financial services software company, has inked a deal for 23,492 square feet for 11 years at RFR Realty’s 285 Madison Avenue. The Commercial Observer reported a $64 PSF asking price. According to CompStak data, Misys ultimately agreed to a starting rent of $59 PSF. That puts Misys's rent considerably below the starting rent of many of its neighbors, including GE Capital, which agreed to pay in the high $60s PSF in starting rent for its recent lease at the same property. It is also well below the average starting rent of $69 PSF for spaces across the Grand Central submarket.
Meridian Group [recently acquired 1400 L Street NW](https://www.bisnow.com/washington-dc/news/commercial-real-estate/meridian-group-will-give-1400-l-street-nw-a-makeover-60430?rt=17594) in Washington DC from Mack-Cali Realty Corp. A majority of the building, 98%, is leased to the US Customs and Border Protection Agency, which is scheduled to vacate the space in 2018. Meridian is planning a multimillion dollar renovation of the building that will bring the building more in line with other class A buildings in the DC East End submarket. Space in 1400 L Street NW is currently being leased for rent in the mid $30s per square foot. According to CompStak, average class A space in the East End submarket is leasing in the low $50 per square foot range. Once the renovations are done at Meridian's newest DC property, they can expect to capture rents 66% higher than what the current in place tenants are paying based on market rates. **SAN FRANCISCO-BAY AREA: 180 Montgomery sells with in-place rents below average for CBD** ![SF-BA](http://res.cloudinary.com/compstak/image/upload/v1464193932/asd_xfs9bb.png) 180 Montgomery was recently acquired by Sidra Montgomery for $98M. Over the last 12 months, leases signed in the building had average effective rents of $59.18 per square foot. These rents trade at a 3.5% discount when compared other similar buildings in the North and South Financial District, which together had an average effective rent of $61.31. The newly acquired trophy building is fully leased according to [Bisnow](https://www.bisnow.com/san-francisco/news/office/98m-secured-for-180-montgomery-acquisition-60210). **CHICAGO: Oak Brook Office Market Improves**
There has been chatter that the Oak Brook office market is [thriving](http://www.globest.com/sites/brianjrogal/2016/05/10/oak-brook-office-market-continues-to-improve/?channel=markets§ion=chicago), particularly for small and mid-sized spaces. CompStak decided to take a look at just how well office space has performed over the past year in the area. Excluding net leases, starting rents for office spaces are up 13.3% in the past year alone in and around Oak Brook. The average starting rent now stands at nearly $19. **BOSTON: McGraw Hill Education Doubles Space at Fort Point** ![McGraw Hill Education](http://res.cloudinary.com/compstak/image/upload/v1464216828/Untitled-3_copy-01_fmu9ov.png)McGraw Hill Education has [expanded its initial 12k SF lease](https://www.bisnow.com/boston/news/office/mcgraw-hill-doubles-space-at-fort-point-59995) at 281 Summer Street to cover 40k SF of space at the property. The firm plans to bring on an additional 50 workers at the Fort Point R&D space. According to CompStak, McGraw Hill’s original 12k SF lease was for $39 PSF, equivalent to an annualized rent of $475,956. **LOS ANGELES: Low consumer spending but industrial rents continue to rise**
![LA](http://res.cloudinary.com/compstak/image/upload/v1464022557/los_angeles-01_omgvtw.png) Despite [slow consumer spending](http://www.globest.com/sites/kelsimareeborland/2016/05/19/why-isnt-slow-consumer-spending-hurting-industrial/?channel=markets§ion=los-angeles ), the industrial space market continues to thrive. According to CompStak, starting rents for industrial spaces in Los Angeles and Orange County are up 9.3% over the past 12 months to an average of nearly $1 PSF.