Verizon Signs 19-Year Lease for 203K SF HQ at Vornado's Penn 2 New York

Verizon has signed a long-term lease to relocate its New York headquarters to PENN 2, a redeveloped office tower owned by Vornado Realty Trust in the Penn District. The telecommunications giant will occupy nearly 200,000 square feet across the eighth through tenth floors, with exclusive access to more than 25,000 square feet of outdoor space, and plans to establish a flagship retail location on Seventh Avenue. This move marks a significant win for Vornado, which has invested $750 million in revitalizing the Penn District area, where office vacancy rates had been high. The transformation of PENN 2 includes modern amenities such as a triple-height lobby, double-height outdoor tenant loggias, curated retail space, and expansive green areas designed to foster collaboration and innovation. Verizon's relocation is expected to accelerate the building’s lease-up and stabilization, supporting a broader resurgence in Manhattan office leasing, which saw its strongest first half in over a decade. Vornado executives highlighted the lease as a validation of the district’s emergence as a vibrant business hub on New York’s West Side.