- McDermott Will & Schulte is negotiating to lease 150KSF at 343 Madison in Midtown.
- This would mark the tower’s second major lease, following Starr’s 275KSF commitment.
- BXP advances the $2B project despite prior financial setbacks and partnership loss.
- Development is scheduled for completion by the end of 2029.
Leasing Momentum Builds
The Real Deal reports that BXP is close to securing its second large tenant at 343 Madison Avenue, its 46-story Midtown office tower. Law firm McDermott Will & Schulte is in advanced talks to take 150KSF across six floors of the 930KSF development. While the deal isn’t finalized, it underscores renewed office leasing interest in the project.
Major Tenants at 343 Madison
The McDermott lease would follow Starr’s 275KSF agreement earlier this year. Together, these deals could push committed space past 40% of the building. Industry sources say neither of McDermott’s predecessor firms will fully vacate their current offices. Instead, both firms plan to keep portions of their existing space. This signals layered demand rather than a simple relocation.
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Development Navigates Challenges
The $2B 343 Madison project has faced several hurdles, including BXP cutting its dividend and Norges Bank exiting as a major equity partner. Despite these challenges, BXP continues to advance the flagship Midtown office project. The firm remains committed to delivering an 844-foot, all-electric, net-zero tower by late 2029.
What’s Next
As demand for Class A office space slowly rebounds in Midtown, the momentum around 343 Madison’s leasing performance signals broader market stabilizations. That recovery is becoming more visible across Manhattan, where larger transactions and renewed investor interest are starting to reset pricing expectations at the top end of the office market. Industry observers will watch if other tenants follow suit as the project approaches completion.
