The Port Authority
The Port Authority of New York & New Jersey should “phase out real estate ownership and development,” according to a 103-page reform blueprint released by the agency and the governors of the two states over the weekend.
Gov. Chris Christie of New Jersey and Gov. Andrew Cuomo of New York laid out the findings of the bi-state special panel on the future of the Port Authority as they announced their respective vetoes of bills that would have overhauled the public entity.
2014 year in review
Two securitized loans backing Manhattan office towers at 530 Fifth Avenue and 485 Seventh Avenue were fully defeased this month, according to December remittance data obtained by Trepp and provided to Mortgage Observer.
The 499,554-square-foot office tower at 530 Fifth Avenue has a current balance of $164.1 million and previously made up 7.8 percent of its CMBS deal, WBCMT 2006-C25. The building’s defeasance brought the total percentage of defeased loans in that deal to more than $218 million, or 10.4 percent of the securitized balance, according to Trepp.
Few people can sit in their office, crane their head slightly, and point out the window to the nearby skyscrapers they own. Larry Silverstein can.
The 83-year-old chairman of Silverstein Properties and master leaseholder and developer of the World Trade Center site invited Commercial Observer into his office on the 38th floor of 7 World Trade Center, motioning both in the direction of the existing and rising towers on the Trade Center site and the almost-topped out condo and Four Seasons hotel by Robert A.M. Stern at 30 Park Place. “It’s exciting as hell,” Mr. Silverstein said with his signature enthusiasm.
Silverstein Properties has named current chief investment officer Tal Kerret the company’s president, Silverstein chairman Larry Silverstein announced this morning.
Mr. Kerret joined Silverstein as an executive vice president in 2011, originating the Silver Suites Offices shared office space at 7 World Trade Center and managing the corporate and short-term rental housing at the Silver Suites Residences at Silver Towers and at Beekman Tower, company officials said.
Silverstein Properties recapitalized Midtown office property 1177 Avenue of the Americas, taking a $360 million loan from Deutsche Bank and CCRE, records filed with the city yesterday show.
A spokesperson for the Silverstein confirmed the deal, but declined to comment on the interest rate. Prior reports say that the developer was set to nab a “sub 3 percent,” rate, however.
Silverstein Properties scored a big win in late October after selling 1.6 billion in tax-exempt Liberty Bonds, paving the way for full construction of the firm’s long-stalled 3 World Trade Center tower. The financing marks the largest-ever unrated bond deal in the municipal market.
“The availability of that capital gives us the ability to lift the building above the eighth floor, where it is today,” Silverstein Properties Chairman Larry Silverstein said at a Commercial Observer breakfast panel on Nov. 5.
IEX, a start-up stock market, is moving from 3,600 square feet at 7 World Trade Center to 13,000 feet at 4 World Trade Center, both Silverstein Properties buildings, the developer announced.
The firm signed a seven-year lease on the 44th floor of the 56-story, 2.3-million-square-foot building and will move in April 2015. A source with knowledge of the deal said the asking rent is in the mid-$70s per foot.
2014 Owners Magazine
Getting timing right is always a tricky proposition. But at Commercial Observer‘s breakfast panel discussion on development in Lower Manhattan in honor of the launch of CO‘s 2014 Owners Magazine, Mary Ann Tighe, CEO of CBRE decided to get specific about when Lower Manhattan was going to kick into gear.
Silverstein Properties Chairman Larry Silverstein, CBRE New York tri-state CEO Mary Ann Tighe and the rest of the panel featuring five of Lower Manhattan’s top developers, brokers and tenants shared their assessments of the World Trade Center area’s progress at Commercial Observer’s Owners Magazine breakfast panel yesterday morning at 7 World Trade Center.
of Fried, Frank, Harris, Shriver & Jacobson
‘s real estate department moderated the discussion and Brookfield Property Partners
CEO Dennis Friedrich
and ad agency vice chairman Andrew Essex
also contributed their own upbeat takes on downtown on the week that 1 WTC
anchor tenant Condé Nast
Models, awards and pictures from projects all over the world adorn the walls and corridors of the Lower Manhattan offices of Skidmore, Owings & Merrill, but the World Trade Center assemblage stands apart from all the rest. There are the gleaming pictures of Dubai’s 2,716-foot Burj Khalifa, a framed certificate recognizing Midtown’s Lever House for the 1980 American Institute of Architects’ 25-year award and the awe-inspiring design portfolio that includes seven of the world’s tallest 15 buildings and over 100 New York City structures. But they give way to a transparent scale model of the World Trade Center complex that’s all alone next to conference rooms and the executive offices where managing partner T.J. Gottesdiener oversees design, construction and planning at the firm’s New York City office.
Silverstein Properties and Elad Group, who are partnering on high-end residential condominium 1 West End Avenue, are now seeking about $500 million in construction funds from a consortium of banks for the project, sources told Mortgage Observer.
The syndicate will be led by Wells Fargo and Bank of America, who provided the loan the partnership used to buy the Midtown West land last year from the Carlyle Group for $160 million, one person said.
Independent investment research provider Morningstar will move its New York City offices from Midtown to downtown in the middle of 2015 through a 10-year, 30,000-square-foot lease at 4 World Trade Center, Silverstein Properties announced today.
The company that currently operates out of a 7,500-square-foot office at 1065 Avenue of the Americas near Bryant Park will join the city government of New York, trade center site owner the Port Authority of New York & New Jersey and the MediaMath company at 4 WTC by taking space on the 48th floor of the award-winning 2.3-million-square-foot skyscraper designed by Fumihiko Maki, said Joe Mansueto, chairman and CEO of Morningstar.
Handel Architects will join fellow architecture firms Beyer Blinder Belle and Boddewyn Gaynor Architects at Silverstein Properties‘ 120 Broadway just north of Pine Street, Commercial Observer has learned.
“They basically were able to cut their rent in half by moving downtown so it’s kinda a no-brainer when you’re staring down the barrel of a $2 million or $1 million rent,” said Bertram Rosenblatt, a founding principal of Vicus Partners and Handel’s broker in the deal. “Architects are not software companies or hedge funds. They have real expenses. They don’t have insane profits. The rent really does matter.”
After 26 years in its Soho home, Boddewyn Gaynor Architects is moving to a new space just above Wall Street, Commercial Observer has learned.
At its current 7,500-square-foot digs, 434 Broadway near Howard Street, the landlord, Savanna, is tripling the architecture firm’s rent, said Alan Gaynor, the founding principle of Boddewyn Gaynor Architects.
Less than an hour after he left the stage at an event about the World Trade Center‘s progress ahead of the 9/11 anniversary, Silverstein Properties chairman Larry Silverstein invited reporters for a look at the Four Seasons hotel and condo development that’s rising just two blocks away from the trade center complex at 30 Park Place.
The 926-foot Robert A.M. Stern-designed building will feature 189 hotel rooms on the first 39 floors and 157 luxury condos leading up to the 82nd floor, including 11 penthouses with outdoor terraces starting on the 75th floor, when it opens in early 2016, according to Silverstein.