TH Real Estate and Norges Bank Sell 470 Park Avenue South for $245M
By Nicholas Rizzi December 19, 2018 5:35 pm
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TIAA’s real estate arm and Norway’s wealth fund has sold its co-owned 470 Park Avenue South for $245 million, the buyers announced today.
PGIM Real Estate and SJP Properties picked up the 17-story building between East 31st and East 32nd Streets from TH Real Estate and Norges Bank Real Estate Management, with Norges netting $122 million for its 49.9 percent stake, Reuters first reported when the deal was in contract.
SJP will become the operating partner for the property and manage leasing for the 301,178-square-foot building. Its first target to fill will be a full-floor, pre-built space catering to technology and creative companies, according to a spokesman for SJP.
“The location of 470 Park Avenue South has become one of the most desirable neighborhoods in Manhattan for a diverse cross-section of companies,” Steven Pozycki, the CEO of SJP, said in a statement. “We look forward to maximizing the value of the property and creating an optimal work environment for existing and future tenants.”
A spokesman for SJP did not immediately respond to requests about the brokers who worked on the deal or its financing.
TH Real Estate bought 470 Park Avenue South for $157 million in 2007. Norges took a stake in the building in 2013 when it partnered with TH Real Estate in a $1.2 billion portfolio, The Real Deal reported. In June, TH Real Estate hired Eastdil Secured to market its stake in the building, as per TRD.
The building is currently 87 percent leased and tenants include travel website Priceline, marketing consultant Distillery Inc and music agency Opus 3 Artists.
