High prices force Brookfield out of Manhattan

TRD New York /
Jun.June 20, 2012 04:30 PM

Manhattan real estate’s high prices and shortage of inventory has forced at least one high-profile landlord to invest its money elsewhere. The Wall Street Journal reported that Brookfield Office Properties’ recent buying sprees outside its core market are a direct response to the poor conditions in Manhattan.

“In New York, we’ve looked at everything,” said Brookfield President Dennis Friedrich, who will soon become the firm’s CEO. “There’s not a lot on the market that’s intriguing, and pricing is certainly very weighty.”

Brookfield, which owns more than 18 million square feet of office space in Manhattan and is in the process of developing 5.4 million more square feet at Manhattan West, recently reached a $829 million deal for 884,000 square feet of London property, and closed on a $210 million portolio in Seattle and a $215 million building in Denver.

While London is known as a safe haven for global capital, the Journal attributed the purchases in Denver and Seattle to the rapidly rising costs of properties in major U.S. cities that are considered long-term safe bets. [WSJ]


Related Articles

arrow_forward_ios
RFR Realty's Aby Rosen, Brookfield's Ric Clark and the Lever House at 390 Park Avenue (Credit: Getty Images and Google Maps)

Aby Rosen’s new landlords move to take control of Lever House

Aby Rosen’s new landlords move to take control of Lever House
Digital marketing firm to take 95K sf office penthouse at Grace Building

Digital marketing firm to take 95K sf office penthouse at Grace Building

Digital marketing firm to take 95K sf office penthouse at Grace Building
National Cheat Sheet: $9.4 billion in commercial loans defaulted in May, industrial market rents surge … & more

National Cheat Sheet: $9.4 billion in commercial loans defaulted in May, industrial market rents surge … & more

National Cheat Sheet: $9.4 billion in commercial loans defaulted in May, industrial market rents surge … & more
Brookfield refinances One New York Plaza with $750M Wells Fargo loan

Brookfield refinances One New York Plaza with $750M Wells Fargo loan

Brookfield refinances One New York Plaza with $750M Wells Fargo loan
Brookfield sues West Side hotel over use of “Manhattan West” moniker

Brookfield sues West Side hotel over use of “Manhattan West” moniker

Brookfield sues West Side hotel over use of “Manhattan West” moniker
Dennis Friedrich to resign as CEO of Brookfield Property Partners’ global office arm

Dennis Friedrich to resign as CEO of Brookfield Property Partners’ global office arm

Dennis Friedrich to resign as CEO of Brookfield Property Partners’ global office arm
Qatar to acquire a stake in Brookfield’s Manhattan West project

Qatar to acquire a stake in Brookfield’s Manhattan West project

Qatar to acquire a stake in Brookfield’s Manhattan West project
Worker injured at Brookfield’s Manhattan West site

Worker injured at Brookfield’s Manhattan West site

Worker injured at Brookfield’s Manhattan West site
arrow_forward_ios

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

Loading...