Werner In Contract for Mobil Building
By Gus Delaporte April 17, 2014 10:30 amreprints
Investor David Werner is in contract to acquire the Mobil Building at 150 East 42nd Street for more than $900 million, according to The Wall Street Journal.
Present owner Hiro Real Estate brought the tower to market last month. The Japanese company acquired the building in 1987.
The building, marketed for sale by Eastdil Secured, attracted interest from a range of institutional investors, including sovereign wealth funds, pensions and real estate investment trusts, the Journal reported. But Mr. Werner was able to step in front of the institutions by making a strong offer last week, according to the report.
“It’s a combination of price, surety and speed. They don’t have to go through committees,” Douglas Harmon, a senior managing director at Eastdil Secured, told the Journal of the advantages of individual investors. “They can at times outmaneuver institutional capital.”
Mr. Harmon handled the deal alongside his partner Adam Spies.
The tenant roster at 150 East 42nd Street includes Wells Fargo. Last month, Mount Sinai Health System signed a 450,000-square-foot lease at the building.