| Rising
above the ordinary commercial structures along the waterfront is the
Starrett-Lehigh Building, a much heralded modernist experiment in
industrial architecture. Completed in 1931, this massive factory-warehouse
offered a novel solution to freight distribution and a dramatic example of
curtain wall construction. With tracks leading directly from the piers
into the building, freight cars carried by boat from New Jersey could be
moved in 30-foot elevators to truck pits on upper floors. The horizontal
bands of windows and cantilevered concrete floors sweeping around the
perimeter of a huge city block gave New Yorkers an indigenous example of
the new International Style in architecture.
Although architecturally innovative, the
Starrett-Lehigh Building never fulfilled its promise. With the Holland
Tunnel (1927), Lincoln Tunnel (1937), and George Washington Bridge (1931),
the Hudson River waterfront yielded its commercial activity to
long-distance trucking.
Inside the Starrett-Lehigh Building
by C.J.
Hughes
The Building
A 19-story landmarked brick-and-concrete
Modernist marvel, Manhattan's Starrett-Lehigh Building rises like a
multitiered wedding cake on the block bounded by West 26th and 27th
streets and 10th and 11th avenues. But for some aspiring entrepreneurs,
moving in has been anything but a honeymoon.
The Starrett's appeal to any start-up
business emphasizing the creative arts is obvious. Communal-style
brainstorming is invited by cavernous office spaces supported by even rows
of 35-foot golf-tee-shaped columns with trunks thick as sequoias. For fans
of natural light, an unbroken line of 20-pane steel sash windows offers
stunning views of the Hudson, from the Statue of Liberty to the George
Washington Bridge.
Designed by architects Russell G. Cory,
Walter M. Cory, and Yasuo Matsui in 1931, Starrett-Lehigh was originally a
busy warehouse and manufacturing center, with railroad tracks streaming
right into the bottom floor. Nowadays, one's more likely to find
streaming-video producers inside the 1.8-million-square-foot building,
although traces of its old uses remain.
Each floor is still equipped with
passenger, freight, and truck elevators that allow tenants such as Martha
Stewart--whose Omnimedia company will move into a 175,000-square-foot
space in November--to not only drive to work, but park right next to the
water cooler.
In 1998, Helmsley-Spear sold the Starrett
for $152 million to 601 West Associates, a group of investors who are in
the process of completely gutting and redesigning the commercially zoned
space for a reported $20 million. (Because it is landmarked, the
building's outside is off limits.) And although much of the Starrett's
interior looks raw and battle-scarred, parts of the mammoth structure are
already up and running.
Growing Pains
As the Starrett comes back to life, the
transition isn't entirely smooth.
During one workday last week, well-dressed
digerati hurried through a temporary lobby--the new, adjacent glass-backed
lobby designed by in-house artist Maria Hellerstein was recently
completed--as contractors rushed to build four new elevator shafts, scrape
ceiling paint, and lay bundled T1 cables. To move to this state-of-the-art
structure, tenants must fork over between $35 and $40 dollars a square
foot for office space--a far cry from the $5 rate the Starrett commanded
just two years ago.
So far, Screaming
Media, Concrete Media, Emagine,
eFinanceworks, and about six
other dot-coms represent the Alley in Starrett. (Silicon Alley Reporter
also keeps an office there.) Other tenants include fashion houses such as
Hugo Boss, whose recently opened offices feature a state-of-the-art
showroom equipped with a hologram-projection guide.
Landscaped, wraparound decks are sprouting
in the new, improved Starrett, but the former industrial space still
contains remnants of its former self. Dangling fluorescent tubes cast a
weak light on graffiti-stained hallways; piles of cinder blocks and sand
fill many truck bays. Getting over there also remains a hassle--Starrett
is at least two avenue blocks from the nearest subway line.
Longtime tenants who
can't afford the new jack-up rents say the landlords are trying to evict
them unfairly. "[The landlords] claim I'm making too much
noise," says ABC Die Cutting owner Irving Fox. "At what point
between $6 and $40 [a foot] did I start making too much noise?"
But building manager Harold Broyde says his
focus is on getting the right mix of arts, media, and communication
companies into Starrett--a new Con Ed generator will provide much-needed
juice--even as this spring's stock downturn has him more closely
scrutinizing prospective tenants.
"All the Internet companies bring the
stock market up and they bring it back down," Broyde says. "But
this is probably the future."
Battle Lines
Still, the rush to build a
dot-commune--where like-minded businesses may someday network under the
same roof--may have already resulted in some favoritism. Urban
Box Office, a vertically integrated community space located at
Starrett for the past year that's staffed mainly by minorities, was kicked
out in June in what it claims was a racist action.
"They said they didn't like the
'quality of people' we brought to the building," says CEO and
co-founder Adam Kidron. "Seeing as our kids are amazing quality, and
have won numerous awards, and they've done great work, we can only assume
that when he was talking about the quality of the person, it was about
their race."
Unlike most of the existing tenants, UBO
was paying market rate for its space, $30 per square foot. The company is
also relatively flush with $27
million in capital, so there was no financial incentive to kick them
out, Kidron says.
UBO's version of the timeline goes
something like this: In July 1999, Tomar Studios legally sublet its office
to UBO, and in November, 601 West handed UBO keys and gave it permission
to expand into an adjacent office on Starrett's south side. This expansion
occurred with the understanding that 601 West was in the process of
drafting a new lease that would allow UBO to reside in the Starrett for 10
years.
Two months later, 601 West served UBO with
an eviction notice, charging that UBO employees were illegally smoking and
gathering in the hallways.
When UBO refused to leave, 601 West sent in
the fire department to bust them for overcrowding, but--according to
Kidron--after almost 10 fruitless inspections, "most of [the
inspectors] were more interested in getting the phone numbers of the girls
who work here."
Kidron also claims the landlords refused to
clean their hallway bathroom (as dirty as the one in Trainspotting,
according to another disgruntled employee), and the elevator operators
wouldn't stop on the 12th floor, where the office was located.
When the eviction notice didn't work, 601
West resorted to extortion, according to Kidron. The company turned off
the electricity to the office for a two-week period in May, and said it
would only turn the power back on if Kidron offered them warrants for 2
percent of the company (and even then, UBO would only be allowed to stay
in the Starrett until the end of the year). Kidron said no.
Finally, Kidron agreed to move out if 601
West would give them back electricity immediately.
"[601 West head Harry Skydell] was
basically God in that building," Kidron says about the stand he took.
"And you can't let God become the devil."
Skydell himself didn't return calls seeking
comment for this article, but as far as building manager Broyde is
concerned, there's no bad blood between 601 West and UBO.
"I happened to like the company,
personally," he says, even though he insists that that UBO's original
lease with the Tomar Studios was never approved.
Still, there were disagreements. "They
did things that were not beneficial to the building," Broyde says.
"One thing is, they had meetings all over the building, and on the
roof, where they weren't supposed to."
Kidron scoffs at this suggestion, saying
staffers once gathered on the roof for a memorial service for co-founder
and former Motown Records president George Jackson--and had full
permission to do so.
"It shows me that if you can be so
inhuman to use someone else's death as a negotiation play, you're better
off not having negotiations," Kidron says.
UBO is currently housed on Avenue of the
Americas and West 31st Street in an 18,000-square-foot space (which is
4,000 square feet bigger than the company's Starrett space, contrary to
some reports) until December, when the company will relocate to 126th
Street and Amsterdam in Harlem.
And even though the company is enjoying
some momentum right now--four new animated UBO channels are now hitting
the Internet airwaves, with live action programming scheduled for the
fall--Kidron is still seething about how the Starrett treated his company.
"I'm not at all happy with the
chapter's being closed," Kidron says. "I wouldn't be [commenting
for this article] at all, if it wasn't to warn people that this [Skydell]
is a bad guy."
There are many employees who share Kidron's
dislike of their former landlord, but at least one UBO employee isn't so
sure that 601 is entirely in the wrong.
"If I were a landlord, I could
certainly see 100 different reasons why I wouldn't want these people in my
building, and it would [have] nothing to do with the fact that it's a
largely minority-staffed company," says an employee of UBO channel IndiePlanet.
"[UBO] is the most rambunctious, uncontrolled group I've ever been
around in a professional setting," the source says.
A look around the building shows that UBO
isn't the only company unhappy with its treatment. In the past year,
tenants have filed at least 12 lawsuits against the landlords, mostly
arguing that they're losing money or being unfairly displaced because of
the renovations.
ABC Die Cutting owner Irving Fox, for one,
can't afford the new jacked-up rents. Fox, who has been in the building
for 16 years--long before it was a New Economy hot spot--had been paying
only $6.10 a square foot, before the IT outfits swept in.
"They claim I'm making too much
noise," says Fox, whose manufacturing facility occupies the floor
above Martha Stewart's space. "But it's like the judge said in the
case: At what point between $6 and $40 did I start making too much
noise?"
Fox also claims 601 West is punishing him
in the meantime by reducing the number of operating freight cars in the
building from five to three, and the number of truck elevators from three
to two. In addition, trucks now have to come through the narrow basement
entrance, which means any vehicle longer than 28 feet can't get in.
Someone who shares Fox's pain is Spiros (he
would give only his first name), owner of the 12-year-old Starrett
Restaurant on the Starrett's mezzanine floor. Spiros says 601 West is
currently trying to evict him, even though he's been dealing with them in
good faith--he gladly relinquished 3,000 square feet of space so 601 West
could construct the towering lobby. In exchange for the space and other
concessions, 601 West was supposed to lower Spiros' rent, a promise that
was never fulfilled.
"They play all these games," says
Spiros, who wouldn't elaborate because of his ongoing lawsuit against 601
West. "We went to court to open the glass doors [leading to the
restaurant], then they opened them. Now, they closed them again."
Embattled Chelsea Moving & Storage
owner Jerry Saidon finally raised the white flag on June 15 and moved out
of the Starrett after four years. 601 West officially evicted Saidon from
his 9th floor location for having installed illegal metal security gates,
but Saidon claims it was really to cash in on the building's newfound
popularity. Saidon was paying only $7 a foot for space that can now
command at least four times that.
"I'm mad more about the way they dealt
with me," says Saidon, who maintains that his short-lived battle cost
him $100,000 and his health. "Nobody has the guts to go after
them."
Saidon blames new arrivals like Martha
Stewart for his eviction. Like many of those forced out, he's angry that
601 West has pushed so aggressively (and unethically) to get the right mix
of content-producers, webheads, and Netizens into the Next Big Space.
"If you pay someone to shoot someone
else, you are still guilty. Martha Stewart watched from a hill while they
shot me," Saidon says. "I don't believe this can happen in
America. If this happens in another country, we send in the Marines."
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