Newmark Facilitates Major Office Renewal and Expansion for United Nations Headquarters in New York City

Major Office Renovation and Expansion for UN Headquarters

Newmark Group, Inc. ('Newmark'), a prominent player in commercial real estate services, has struck a significant deal for the United Nations (UN) regarding the renewal and expansion of its office leases at 2 UN Plaza, located in the heart of Midtown Manhattan. The new agreement encompasses an impressive 425,190 square feet across 26 stories, consolidating and expanding the UN's presence within the city while also incorporating a two-story retail space at 1 United Nations Plaza.

Newmark's Executive Managing Director, Jim Saunders, and Head of New York Consulting, Jason Perla, have played pivotal roles in the negotiations with the UN, supported by Roy Abernathy, Executive Vice President of Workplace Strategy and Human Experience. This renewal reflects not just a continuation but an enhancement of the UN's operational model.

A Commitment to New York City

'This landmark transaction reaffirms the UN's deep-rooted commitment to New York City as its global diplomatic hub,' remarked Saunders. The newly designed workplace aims to benefit employees and streamline operations, ensuring that the UN can effectively meet its evolving needs. The innovative workplace model supports the UN's international vision, introducing a modern working environment that aligns with its global objectives.

The UN has been a longstanding tenant at the 2 UN Plaza complex and is now set to occupy nearly all the office space within the facility, freeing itself from space constraints affected by previous divisions between 1 and 2 UN Plaza. This consolidation is not just about expansion; it’s about creating an integrated headquarters that supports better functionality and accessibility.

Significant Infrastructure Enhancements

This lease renewal coincides with a substantial $500 million capital improvement initiative currently underway by the United Nations Development Corporation, the landlord. This upgrade program is designed to revitalize both 1 and 2 UN Plaza, featuring essential infrastructure enhancements, lobby renovations, and advanced security and sustainability features, reinforcing the building's status as a cornerstone for diplomatic and international tenants.

Located directly opposite the United Nations Headquarters, the UN Plaza complex comes with stunning views of the East River and the Manhattan skyline, alongside convenient access to Midtown transit options and a variety of amenities.

The Broader Impact of the Deal

With this deal, Newmark showcases its capability in executing complex real estate transactions at high levels of organizational significance. By not merely facilitating the lease renewal but enhancing the workplace strategy of a global entity like the UN, Newmark underscores its role as a comprehensive service provider in the commercial real estate sector.

In the twelve months leading up to March 31, 2025, Newmark reported revenues exceeding $2.8 billion, serving a vast network of clients that includes global corporations, institutional investors, and various occupiers from emerging companies to established enterprises. With operations extending across 165 offices globally and a workforce of around 8,100 professionals, Newmark possesses the robust infrastructure necessary to support its diverse clientele effectively.

For clients and stakeholders alike, this transaction exemplifies how strategic real estate decisions can contribute to an organization’s global mission. As the UN continues to adapt to the changing landscape of international diplomacy and operations, Newmark remains an invaluable partner in realizing these ambitious objectives.

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