Citigroup moves its headquarters from Midtown to further downtown Manhattan, after decades in its Park Avenue location. It's new long-term lease is one of Manhattan's largest ever.
It's leasing 2.6 million square-feet of space in TriBeCa from SL Green Realty Group. The space used to be Travelers Group headquarters, which merged in 1998 with what was formerly known as Citicorp. The space already hosts investment bankers and traders, but will undergo a gut-renovation. And while the lease is a large one, it still points to the bank's shrinking footprint.
Citigroup, the third largest bank in the U.S., reported that the space is more cost-efficient. Wall Street's biggest banks are all cutting costs, partially by downsizing space. Other locations Citi considered included Hudson Yards and the new World Trade Center site.
SL Green bought the two-building complex at 388-390 Greenwich Street back in December 2007 from Citi. SL Green shares rose 0.22 percent in Thursday trading in New York. Citi shares dipped 0.15 percent.
[Wall Street Journal]
[Crain's New York]