Rockrose Development CEO Henry Elghanayan (top), Silverstein Properties President Larry Silverstein and 575 Lexington Avenue

Rockrose Development has cut off talks to buy 575 Lexington Avenue from Silverstein Properties and the California State Teachers’ Retirement System, Crain’s reported, because the price was too high.

The firm was reported to be near a deal to buy the 35-story building between 51st and 52nd streets for $370 million in January, but Rockrose CEO Henry Elghanayan said the negotiations stalled because of the price Silverstein President Larry Silverstein and Calstrs were demanding. [more]

From left: Rockrose Development's Henry Elghanayan, 575 Lexington Avenue and Silverstein Properties President Larry Silverstein

Rockrose Development is in talks to acquire 575 Lexington Avenue for $370 million, according to Bloomberg News, which cited a Real Estate Alert report.

The 35-story,  585,000-square-foot office tower, between East 51st and East 52nd streets, is owned by a partnership of Silverstein Properties and the California State Teachers’ Retirement System. [more]

Larry Silverstein and 575 Lexington Avenue

Developer Larry Silverstein is facing a massive foreclosure suit at his troubled office tower at 575 Lexington Avenue after failing to work out a restructuring deal on $325 million in loans.

Silverstein, president of Silverstein Properties and the famed developer of the World Trade Center, has been in talks with a special server for nearly 11 months after originally buying the skyscraper for $400 million in 2006. LNR Property, based in Miami Beach, filed suit on behalf of the lenders Jan. 25 in New York State Supreme Court.

Analysts say that Silverstein paid too much for the property and would have needed to raise rents to as much as $80 a square foot to make a profit, but the building is now asking only $50 a square foot since the downturn. [more]

Larry Silverstein and 575 Lexington Avenue

While he’s been facing his share of woes at the World Trade Center site, the drama has now moved uptown for developer Larry Silverstein. His building at 575 Lexington Avenue on the corner of 51st Street is facing imminent default, according to Crain’s, as the $325 million loan that he and the California State Teachers Retirement System jointly hold was transferred to a special servicer today. A Silverstein Properties statement said that the company requested the transfer as a part of ongoing negotiations between the lender and the loan holders.