State Street, one of the world’s largest asset managers, is shutting down its two midtown Manhattan offices as the Wall Street firm embraces a hybrid working model.
The move by State Street (STT), the company behind the “Fearless Girl” statue outside the New York Stock Exchange, underscores the pressure facing the commercial real estate market as the pandemic changes the way people work.
State Street, which manages about $3.5 trillion, is closing both of its offices located near Rockefeller Center. The move will impact approximately 500 employees who previously worked there, a person familiar with the matter told CNN.
“To accommodate our hybrid workforce, we have taken a diligent look at our real estate footprint in NYC and ensuring that our realty needs are in line with where our employees will be working,” State Street said in a statement.
The shutdown, first reported by the Wall Street Journal, was announced internally to State Street employees in May.
State Street said that while the offices located at 1290 and 1040 Avenue of the Americas are going away, the financial giant is adding a shared workspace in Manhattan. And the company said employees will have access to other workspaces in New Jersey and Stamford, Connecticut.
“We are happy our NYC-area employees, including members of our global executive leadership team who call New York home, have welcomed and are embracing our hybrid working model,” State Street said in the statement.