Beijing Company Agrees to Move into Freedom Tower
NEW YORK (AP) - June 3, 2008
Beijing Vantone Real Estate Co. agreed to preliminary terms to
open a Chinese business center on five floors of the 1,776-foot
tower, the Port Authority of New York and New Jersey announced.
State government agencies have agreed to lease half of the space
in the skyscraper and a broker was hired last fall to lure
businesses to the tower, scheduled to open in 2012. But
corporations haven't jumped at the chance to move there; the tower
had been seen as a possible terrorist target, and some businesses
were uncertain about rebuilding progress at the site.
Port Authority leaders saw the agreement as a starting point.
"This interest from Vantone will help us build excitement as we
aggressively market this building to other prospective public- and
private-sector tenants," said Chris Ward, the agency's executive
director.
Xue Ya, director of the China Center Project, said Monday the
tower was a "high-quality building" and said the company saw it
as a world business center. "The World Trade Center is the place
for international business," she said.
City, state and business leaders have wooed Beijing Vantone for
three years, first approaching the company during a 2005 trip to
China. The company backed out of a similar preliminary agreement
two years ago with trade center developer Larry Silverstein at his
52-story tower, Seven World Trade Center.
Monday's preliminary agreement would house the China Center - a
business service center for Chinese companies seeking to open
offices around the world - near the middle of the 102-story tower,
a person familiar with the terms told The Associated Press on
condition of anonymity to not disrupt negotiations before they are
finalized. The 22-year lease offers a starting rent of $80 per
square-foot for 190,000 square feet, the person said.
Five office towers are planned to replace the trade center
complex. The Port Authority and the state have signed onto space in
two separate towers. Silverstein is negotiating with Merrill Lynch
& Co. for space in a third tower.
Monday's agreement at the Freedom Tower would need approval of
the agency's board this month, before a lease is finalized.
