When the lease of its longtime headquarters at 201 East 50th Street was ending, Random House decided to expand its headquarters and move to a newly built tower. They originally planned in 1998 to build a tower at 45th and Broadway across from its parent company
Bertelsmann's headquarters at
1540 Broadway with a neon-lighted
skyway across 45th Street connecting them, but after long negotiations the owner of the property withdrew from the plans. Looking for an alternative, the company spoke with various developers, who were already planning apartment buildings, and in 1999 decided for the project of Stephen M. Ross at Broadway and 55th Street, which was already under construction. Subsequently, they assigned architects to develop a new design. While the building has functioned as Random House's headquarters ever since, the 2013 newly formed Penguin Random House parent company initially worked from
SoHo at 345 and 375 Hudson Street. In 2016, two years before the lease of the Random House Tower would end, the company extended the contract till 2033 and also moved to the tower of its subsidiary. There, Penguin Random House occupies and employs 2,400 people. ==Critical reception==