Dow Chemical takes a $20 PSF break on rent after a move from Park Avenue submarket to Midtown East.

Dow Chemical leases top two floors of 499 Park Avenue

Firm will pay more than $130 per square foot
January 09, 2014 05:55PM By Hiten Samtani

From left: American Realty Advisors CEO Stanley Iezman, 499 Park Avenue and CBRE's Paul Amrich

From left: American Realty Advisors CEO Stanley Iezman, 499 Park Avenue and CBRE’s Paul Amrich

Just a few months after acquiring 499 Park Avenue from Hines for $250 million, American Realty Advisors has snagged a tenant for the top two floors of the Midtown East tower, at East 59th Street. Dow Chemical Company will take the 18,244-square-foot space and will pay rents starting at north of $130 per square foot at the 28-story, 303,000-square-foot office building, The Real Deal has learned from CompStak.

Dow Chemical is currently paying about $150 per square foot for a 5,698-square-foot space on the 22nd floor of Somerset Partners’ 450 Park Avenue and its lease is set to expire this year, the CompStak data show.

A spokesperson for Dow Chemical did not immediately return calls.

The chemical company was represented by CBRE’s Anthony Dattoma in the deal, while American Realty Advisors was represented by a CBRE team of Paul Amrich, Neil King III, Patrice Meagher and James Ackerson . A spokesperson for CBRE declined to comment on the deal.

Other tenants at the building include financial services firms Cantor Fitzgerald – whose chairman and CEO Howard Lutnick is also chairman and CEO of Newmark Grubb Knight Frank parent company BGC Partners — and the investment firm of Brazilian billionaire Moise Safra, M. Safra & Co, according to CBRE.

In 2012, American Realty Advisors paid Laurence Gluck’s Stellar Management $56 million for 111 Kent Avenue, a 62-unit luxury rental building in Williamsburg, which at the time was the highest price per unit ever paid for a multifamily building in Brooklyn, as The Real Dealreported.