Chinese developer pledges up to $700M for Port Authority tower

New York /
Jul.July 15, 2011 02:37 PM

China-based retail developer Soho China has agreed to invest between $500 million and $700 million with Vornado Realty Trust to kick-start development of an office tower over the Port Authority Bus Terminal, Crain’s reported. With a deal giving Vornado and partner Lawrence Ruben the rights to build over the terminal set to expire next month, the partners are at a critical juncture in negotiations with the Port Authority of New York & New Jersey, the site’s owner.

Vornado and Ruben were selected by the Port Authority to develop the tower in 2000 but the project has been delayed multiple times as a result of the economic downturn, Crain’s said. An extension of the deal was granted last year.

Despite such a cash injection from Soho China, the project may still require some funding from Port Authority to get off the ground. Vornado has indicated that it would be willing to proceed with the project without a major tenant locked in.

The investment appears to mark Soho China’s first foray into the United States’ real estate market. [Crain’s]


Related Articles

arrow_forward_ios
Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)
Free and clear: Vornado pays off debt at 220 CPS
Free and clear: Vornado pays off debt at 220 CPS
Vornado chairman and CEO Steven Roth, and 608 Fifth Avenue (Credit: Getty Images)
“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
Steven Roth, CEO of Vornado and 640 Fifth Avenue (Credit: Getty Images and Vornado Realty Trust)
Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
Who’s crazy enough to build office?
Who’s crazy enough to build office?
Who’s crazy enough to build office?
Clockwise from left: Stefan Soloviev, Steve Cohen, Marc Holliday, Stephen Ross, Steven Roth, and Joseph Sitt (Illustration by Kevin Rebong for The Real Deal)
Going for the jackpot: A look at the high rollers competing to build NYC casinos
Going for the jackpot: A look at the high rollers competing to build NYC casinos
Tom Brady with 550 Broadway (Loopnet, Getty)
Tom Brady’s TB12 opening in Soho
Tom Brady’s TB12 opening in Soho
355 West Broadway and Bridge Investment Group’s Teresa Mireles Hough (Loopnet, Bridge Investment Group, Getty)
Bridge buys in Soho, Slate in Gowanus in quiet week of i-sales
Bridge buys in Soho, Slate in Gowanus in quiet week of i-sales
A photo illustration of Aurora’s Jared Epstein with 543 Broadway (Getty, Herschel Supply Company, Google Maps)
Backpack brand Herschel Supply opening Soho store
Backpack brand Herschel Supply opening Soho store
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...