HSBC Alternative Investments, along with Edge Fund Advisors, have reportedly paid $270 Million for 4 New York Plaza, the Lower Manhattan home of the New York Daily News and JP Morgan Chase & Co.
The partnership between an HSBC entity, HSBC Club Programme, and the Washington D.C.-based Edge Fund Advisors will take control of the 1,084,528-square-foot, 22-story property, which also counts OK! Magazine and American Media, Inc. as tenants.
“Our purchase of 4 New York Plaza is testament to the value we envision from the rebirth of the downtown market,” Mark Keller, the CEO of Edge Fund Advisors, said in a statement.
Harbor Group International, a Norfolk, Virgnia-based real estate investment firm, had sold the building after it purchased 4 New York Plaza at the “bottom of the cycle.”
“At the time we bought the building, I don’t think investors were as bullish on downtown as they are now,” Jordan Slone, CEO of Harbor Group International, told Bloomberg. Mr. Slone cited Conde Nast’s 1 million-square-foot lease deal at 1 World Trade Center as a pivotal moment in the market that transformed Downtown as a “focus for investors, which 2 1/2 years ago, it wasn’t.”
Harbor Group was represented by a CBRE team lead by Darcy Stacom and William Shanahan. They did not return phone calls requesting comment.