Condominium developer Magnum Real Estate Group has agreed to buy a portion of Verizon’s 140 West Street building for $274 million and plans to convert the acquisition to condominiums.
The buyer will acquire 22 floors and a sub-basement level, Verizon announced yesterday. The telecommunications company will retain floors two through 10 and four sub-basements levels—60 percent of the building—for switching equipment and administrative offices.
“We are excited to acquire a significant portion of this distinguished Tribeca asset,” said Benjamin Shaoul, president of Magnum Real Estate, in a prepared statement, adding the company’s aim was to convert 140 West Street into a “world-class residential property.”
Verizon announced in May plans to market 18 floors at 140 West Street for sale or lease. As part of the company’s plan to consolidate its operations, Verizon will transfer approximately 1,100 employees to its Downtown Brooklyn location at 395 Flatbush Avenue.
“We are pleased to continue to move forward with the conversion of our building on West Street from a traditional telecommunications hub to a multipurpose building that will contribute meaningfully to the city’s long-term vision for a vibrant World Trade Center neighborhood,” John Vazquez, senior vice president of global real estate at Verizon, added in a statement.
The transaction at 140 West Street is consistent with Verizon’s recent real estate strategy. The company has previously sold portions of its buildings at 1095 Avenue of the Americas and 375 Pearl Street while maintaining an ownership stake in the properties.