Buffalo Sabres' owner Terry Pegula, whose corporate holdings continue to grow, has leased a large portion of the One Seneca Tower's 31st floor.
Real estate source have confirmed that Pegula Sports & Entertainment has leased just under 20,000-square-feet in the largely vacant downtown Buffalo office building. With the lease, Pegula Sports & Entertainment will be one of the tower's largest tenants, surpassed only by UBS Financial.
Even with the Pegula lease, the 851,000-square-foot, 38-story building remains less than 10 percent leased.
"We needed more space and there just isn't a lot of space in our building (First Niagara Center) or the HarborCenter," said Michael Gilbert, Buffalo Sabres' spokesman.
With the lease, Pegula Sports & Entertainment is expected to create a still-to-be determined number of new jobs in downtown Buffalo. Besides owning the Buffalo Sabres, Buffalo Bandits and Rochester Americans, Pegula also owns an entertainment representation agency and has music industry holdings as well as those in the gas and oil exploration fields.
Richard Schechter, the building's court-appointed trustee and a broker with Pyramid Brokerage Co. of Buffalo, said Pegula Sports & Entertainment should be in the building within the next month.
Pegula Sports & Entertainment signed a one-year lease for the space, the most allowed under current court orders until the building's ownership scenario is determined.
The deal was brokered by Schechter, his fellow Pyramid Brokerage Co. agent David Schiller and Clarke Thrasher from Hunt Commercial Real Estate.