Hines has selected buyers for its properties at 499 Park Avenue and 425 Lexington Avenue, it was announced today. The properties, part of the Hines U.S. Core Office Fund, are set to be acquired by American Realty Advisors and institutional investors advised by J.P. Morgan Asset Management, respectively, for a combined total of over $1 billion.
“New York has demonstrated a capacity for large scale capital transactions,” Tommy Craig, senior managing director at Hines, told The Commercial Observer. “That has been validated [in these transactions.]”
Hines has been busy on the investment and development side over the past few months. After breaking ground at 7 Bryant Park in February, officials at the 56-year-old firm announced in March that they would put up for sale its properties at 499 Park Avenue and 425 Lexington, both part of the Hines Core Fund. Read More
From a Taconic Investment Partners project in Hunts Point to the World Trade Center site in Lower Manhattan, power in New York real estate circles has increasingly expanded from the comfortable confines of Midtown Manhattan to the fringes of all five boroughs. While large developments such as the Related Company’s Hudson Yards often dominate the conversation, Brooklyn, Queens and even the Bronx continue to grow in stature.
Long Island City is fast becoming a focal point for the real estate industry as Rockrose and other residential developers tap into the growing Queens neighborhood. In the Bronx, Taconic Investment Partners, formerly the owners of 111 Eighth Avenue, is in the process of a significant capital improvement plan at the BankNote Building on Lafayette Avenue in Hunt’s Point.
Below, a sampling of where power thrives in New York City in 2013.
Law firm Simpson Thacher & Bartlett LLP has renewed its lease of 595,000 square feet at 425 Lexington Avenue despite the property being marketed for sale.
The firm’s new lease is a 15-year extension from 2018, expiring in 2033. Asking rents were not disclosed.
Developers broke ground at 7 Bryant Park yesterday, with a consortium of public officials including Mayor Michael Bloomberg gathering to pitch the trophy office tower as a boon for the city.
Politicians are touting the planned 28-story, 470,000-square-foot steel and glass tower, slated for completion in the first quarter of 2015, as a magnet for good jobs, talent and companies.
“The best days are still to come to Bryant Park – a place the city has worked hard to bring roaring back to life,” Mr. Bloomberg said at the ceremony, adding that the project will bring “more top-tier, cutting-edge commercial space, and more leading companies and their tax revenue to Midtown Manhattan.”
Cushman & Wakefield Equity, Debt & Structured Finance has arranged $47 million in financing for the Atrium at Rock Spring Park, a 237,000-square-foot office building located at 10401 Fernwood Road in Bethesda, Maryland.
Meritage Properties owns the building in a joint venture with GTIS Partners. The two bought it from Hines in 2006 for $57 million, according to data from Real Capital Analytics. Previous financing on the building included a $20.5 million first mortgage from Variable Annuity Life Insurance Co.
As the first month of 2012 was coming to a close, many in the industry wondered aloud whether this would be a moribund year for leasing in many of the city’s newest buildings. There were notable new developments –1 and 4 World Trade Center and 51 Astor Place among them– dealing with equally-as-notable vacancies.
The NY Post’s Steve Cuozzo in January wrote that he detected “nothing substantive, or close to it, happening at no fewer than a half-dozen-odd new projects, from the World Trade Center to West 55th Street.”
Since then, however, the market has picked up, and many of these new developments have notched significant deals that have kept the naysayers mum…. at least, temporarily so.
New York City may have brought down Dominique Strauss-Kahn, but another torrid Frenchman will not be held up by the likes of us.
And the winner is… SL Green! For almost 180 million smackeroos!
SL Green, the city’s largest office landlord, has won the bidding war for Hines’ 600 Lexington Avenue, the glass-clad, 36-story tower between 52nd and 53rd streets, according to Crain’s. Rumblings of the deal were first reported at Observer.com late last week.
According to Read More
Neighbors of the 1,050-foot tower buy TV ads before Council hearing Read More