The property management division of Cushman & Wakefield has been awarded the World Trade Center campus contract by the Port Authority (PA) of New York and New Jersey. Chosen through a competitive Request for Proposals process, C&W will be responsible for managing and operating all of the site’s common areas including the site’s public plazas and other key operational facilities. C & W’s brokerage division is already serving as leasing and marketing agents for the building’s office space.
In it’s recommendation for board approval, the PA cited C & W’s demonstrated ability to align with the Port Authorities position on key contract terms, their proposed pricing and their experience.
C & W will manage all of the World Trade Center common areas as well as its massive central chiller plant, river water pump house, primary electrical distribution center and vehicular security center, among other assignments.
“We are thrilled that the Port Authority has recognized (C & W) as a market leader in property management and our ability to add value to such a prestigious assignment,” said Cushman & Wakefield’s John Santora, President and CEO, Corporate Occupier and Investor Services. “Focusing on our expert people with the right experience and judgment, as well as our proven ability to develop a customized approach, we look forward to partnering with the Port Authority to achieve their strategic goals for this iconic site.”
The management contract is for seven years, plus three, one-year renewal options at the PA’s election. The proposed seven-year budget is $15.328 million, of which $5.5 million is C & W’s management fees. Twenty-percent of the total management fee will be awarded for good performance or withheld as penalty for nonperformance, contingent on certain criteria (e.g., responding and completing work orders, accurate budgeting, stakeholder surveys).
Rendering courtesy Squared Design Lab