SL Green to buy Ivanhoe Cambridge stake in Citigroup HQ

Purchase of 49.4 percent stake gives SL Green full ownership at 388-390 Greenwich Street

New York /
Mar.March 03, 2014 04:15 PM

SL Green has agreed to pay nearly $800 million for Ivanhoe Camrbidge’s stake in 388-390 Greenwich Street, where Citigroup’s headquarters are located.

The firm will plunk down $783 million for a 49.4 percent stake in the 2.6 million-square-foot office building, the New York Observer reported. Following the purchase, SL Green will hold full ownership of the building, for which the consolidated investment is valued at $1.58 billion. “We have enjoyed a successful partnership with Ivanhoe Cambridge at 388-390 Greenwich, capped by Citi’s recent lease extension, which was one of the largest lease transactions ever executed in New York,” Andrew Mathias, president of SL Green, said in a prepared statement. “Citi is one of the world’s great financial institutions and has been a valued tenant at several SL Green properties.”

Currently in a triple-net lease to Citigroup through 2035, the property was considered a frontrunner in Citi’s long search for a new nerve center. The complex is the largest in SL Green’s sizable portfolio. Citi owned the complex until SL Green and Ivanhoe Cambridge, the real estate arm of Quebec’s public pension manager, bought it for nearly $1.6 billion in 2007. [NYO]Julie Strickland


Related Articles

arrow_forward_ios
The Daily News Building at 220 East 42nd Street and SL Green CEO Marc Holliday (Credit: Getty Images)
SL Green puts Daily News building up for sale
SL Green puts Daily News building up for sale
SL Green snags private-equity firm at One Vanderbilt
SL Green snags private-equity firm at One Vanderbilt
SL Green snags private-equity firm at One Vanderbilt
SL Green’s locks in big bank lease at Hudson Yards redevelopment site
SL Green’s locks in big bank lease at
Hudson Yards redevelopment site
SL Green’s locks in big bank lease at
Hudson Yards redevelopment site
Greystar sells multifamily portfolio to Ivanhoé Cambridge for $3.6B
Greystar sells multifamily portfolio to Ivanhoé Cambridge for $3.6B
Greystar sells multifamily portfolio to Ivanhoé Cambridge for $3.6B
HNA Group's Guoqing Chen, 245 Park Avenue in Manhattan and 181 West Madison Street in Chicago (Committee of 100, Wikimedia)
HNA entity puts Park Avenue office tower, Chicago Loop high-rise in bankruptcy
HNA entity puts Park Avenue office tower, Chicago Loop high-rise in bankruptcy
590 Fifth Avenue and SL Green CEO Marc Holliday (SL Green)
SL Green sells 590 Fifth Avenue for $103M
SL Green sells 590 Fifth Avenue for $103M
SL Green CEO Marc Holliday, Chelsea Piers Fitness CEO David Tewksbury and One Madison Avenue (Getty, SL Green)
Chelsea Piers is coming to SL Green’s One Madison
Chelsea Piers is coming to SL Green’s One Madison
SL Green buys stake in 1601 Broadway for $121M
SL Green buys stake in 1601 Broadway for $121M
SL Green buys stake in 1601 Broadway for $121M
arrow_forward_ios

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

Loading...