Apparently smitten by the "edifice complex," JPMorgan Chase & Co. plans to build the second largest building in New York City despite a quarter only of its employees reporting for work at its current Manhattan address due to COVID-19 social distancing.
Chief executive Jamie Dimon confirmed the company's plan to erect its 435 meter (1,425 feet) world headquarters building along 270 Park Avenue, the site of its present HQ. When completed in 2024, this skyscraper will cost $3 billion and will accommodate 14,000 employees.
The future JPMorgan HQ will be the second-tallest office building in the city, behind One World Trade Center. It will be nearly 200 feet taller than the Empire State Building and 225 feet taller than the Bank of America Tower, based on data from the Council on Tall Buildings and Urban Habitat. Adamson Associates is the building's architect.
"We're building a headquarters for 50 years," Dimon said. "It is not a short-term decision."
Building plans show the trading floors will occupy the lower and larger bulk of the building. Above the multistorey atrium are large mechanical floors.
Most of the regular office floors are in the center of the skyscraper. Offices are separated by more multilevel mechanical and amenity spaces with high ceilings. There will be 2.5 million gross square feet of newly built space in the building.
Only one in four JPMorgan employees currently work at its current headquarters. Chief financial officer Jennifer Piepszak said JPMorgan doesn't expect this to change soon.
Dimon said JPMorgan would have a lasting shift to working from home - but doesn't know how big the change will be. JPMorgan has as many people assigned to other New York buildings.
Some analysts question the need for a huge new skyscraper given the work-from-home ethic forced on businesses by the pandemic.
Companies will need 10% to 20% less office space in a post-pandemic world, some real-estate brokers estimate. Nearly 75% of respondents to a Piper Sandler & Co survey in mid-September said they expected to work from home more compared with 59% figure in June.
