The Real Deal New York

JPMorgan sells 1 Chase Manhattan to Chinese group for $725M

October 18, 2013 10:41AM

JPMorgan Chase has agreed to sell 1 Chase Manhattan Plaza, a 2.2 million-square-foot Lower Manhattan office tower, to the investment arm of a Chinese industrial giant for $725 million.

Fosun International, owned by Chinese billionaire Guo Guangchang, beat out a number of other suitors for the 60-story building, including RXR Realty’s Scott Rechler, Tishman Speyer and Boston Properties, according to the company’s recent filing on the Hong Kong stock exchange seen by Bloomberg News.

“There’s a lot of excess capital in China that needs a way out at the moment,” Simon Lo, a Hong Kong-based executive at commercial brokerage Colliers International, told Bloomberg News. The purchase could also be a way for the company to take advantage of the U.S. real estate recovery, Lo added.

The property sits on a 2.5-acre parcel bounded by Nassau, Liberty, William and Pine streets. Market observers have said that the building could be converted into high-end residential or hotel use. A spokesperson for Fosun declined to comment to Bloomberg News on their plans for the building. A JPMorgan spokesperson could not immediately be reached for comment. [Bloomberg News]  – Hiten Samtani

  • kosse nanat

    deal of the year!

    • Robert

      hi kos nani…

  • DownwithPointsGuyUpwithMiles

    under $330 psf…well done

  • Sean O’Shea

    Very interesting that many “Financial Services Entities”, like, JP Morgan Chase, Citibank, B of A and Wells Fargo, in recent deals, are all choosing ‘to monetize’ their real estate assets in recent cap rate compressed environment. Also, that savvy investors, both foreign and domestic are buying hard assets, prior to an potential inflationary cycle.

  • Emmanuel Idogho

    That’s a good play.

  • Baffled acquired this price endeavoring. Build new office towers across the Hudson?