Merrill Lynch, based in downtown New York City since its founding in 1914, is close to a deal with Vornado Realty Trust to be the lead tenant at a new building planned across from Madison Square Garden, according to local media reports.

If the move goes ahead, Downtown would lose its second-largest employer after the city: Merrill Lynch employs more than 9,000 workers in New York.

Its lease for 3 million square feet of space at the World Financial Center expires in 2013.