Google Inc (NASDAQ:GOOGL) and Facebook Inc (NASDAQ:FB) will likely be beaten by Samsung electronics for rights over a long-term lease of a prime real estate property in New York City, Cheryl Casone said in a report from Fox Business News.
The report is corroborated by other reports including this story from Business Insider which says that the Korean consumer electronics giant is “close to leasing the entire building” that is located at 837 Washington Street in the city’s Meatpacking District.
Reportedly in competition to lease the prime location on a long-term basis were Facebook Inc (NASDAQ:FB), Google Inc (NASDAQ:GOOGL) and Ferrari.
Cosone reported:
“International clients held the address and this truly is a hot property. What you have are some of the biggest technology firms in the world bidding to lease the entire building in one of the trendiest areas in Manhattan. It is the Meatpacking District made famous of course by the show Sex and the City. According to a report from the Commercial Observer, Samsung has indeed won out over Facebook and Google for the right to sign a long term lease.”
Why are these high profile companies all competing to lease the 55,000-square-foot building? Cosone explained:
“What makes this property so unique is its prime location. It’s across the street from The High Line, it’s a big pedestrian walking park. [It is near] The Standard Hotel, itself famous with global leaders, jetsetters, celebrities… [and] many corporate-…[and] Wall Street-types. It really is a hotbed of activity and it would be very advantageous for these companies to bring [their companies] into this area.
The rent for the building which Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL) just lost to Samsung is $500 per square foot, Cosone said.
Shareholders in Facebook Inc (NASDAQ:FB) includes Matthew Iorio’s White Elm Capital which had 920,944 shares in the company by the end of the first quarter. Another shareholder in Facebook Inc (NASDAQ:FB) is Christopher R. Hansen’s Valiant Capital which reported 893,035 shares in the social media giant in the same period.
Meanwhile, Google Inc (NASDAQ:GOOG) shareholders in the first quarter includes George Soros’ Soros Fund Management which had 115,020 in the company. Another shareholder in Google Inc (NASDAQ:GOOG) during the same period is Philippe Laffont’s Coatue Management which reported 110,281 shares.
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