45 Broad to return to market — and could fetch $110M

Site bought by LCOR in 2012 for $14M; HFF now marketing the property

New York /
Nov.November 10, 2014 02:01 PM

A Lower Manhattan development parcel once owned by Kent Swig will return to the market next year and could sell for as much as $110 million, insiders said.

The potential price for the vacant parcel at 45 Broad StreetBetween Beaver Street and Exchange Place, which has 264,200 square feet of development rights, shows the enormous rise in values in the current environment compared with the prior boom.

Swig’s Swig Equities purchased the office building at 45 Broad Street in June 2006 for about $29 million, with plans to build the Nobu Hotel and Residences. But the firm lost the property to lender Lehman Brothers Holdings in the wake of the financial crisis. Lehman, in turn, sold the site in 2012 to LCOR for $14 million, city records show, as part of an $800 million package.

A Cushman & Wakefield investment sales team began marketing the site in January.

The San Francisco-based investment and development firm Carmel Partners was close to buying it for more than $110 million, a person familiar with the process said, but instead purchased 112-118 Fulton Street from the Lightstone Group, which it was considering at the same time. A spokesperson for Carmel did not immediately respond to a request for comment.

Subsequently, the property was taken off the market. The New York branch of commercial brokerage firm HFF, headed by Andrew Scandalios, now has the listing from the owners LCOR and the California pension fund CalSTRS. Insiders said HFF was not expected to launch marketing until the new year. An HFF spokesperson declined to comment.

Sources pointed to active players in the Downtown market as potential bidders, including Rudin Mangement, which owns 55 Broad Street, a large site adjacent to 45 Broad. The two sites could potentially be combined to build a 650,000-square-foot tower.

Other possible buyers include David Lichtenstein’s Lightstone Group, Michael Shvo, Michael Stern’s JDS Development Group, Fortis Property Group, Howard Hughes and Albanese, according to people familiar with the Downtown market.


Related Articles

arrow_forward_ios
Cushman & Wakefield CEO Brett White and CFO Duncan Palmer (Photos via Cushman & Wakefield)

Cushman reports $37.3M loss in Q3

Cushman reports $37.3M loss in Q3
Related chairman Stephen Ross (Getty; iStock; Health Pass) 

Related, Cushman & Wakefield use new app to screen workers for Covid

Related, Cushman & Wakefield use new app to screen workers for Covid
Cushman & Wakefield CEO Brett White and JPMorgan CEO Jamie Dimon (Cushman & Wakefield; Getty)

Cushman’s $3B debt load poses default risk

Cushman’s $3B debt load poses default risk
The Manhattan office market’s overall vacancy rate rose to a 24-year high of 13.3% in the third quarter (iStock)

Cushman & Wakefield paints bleak picture for Manhattan office market

Cushman & Wakefield paints bleak picture for Manhattan office market
Cushman’s Brett White and Newmark’s Barry Gosin (Getty)

Newmark Group rejects Cushman & Wakefield takeover offer

Newmark Group rejects Cushman & Wakefield takeover offer
Cushman and Wakefield CEO Brett White (Getty; iStock; Cushman and Wakefield)

Lawsuits against Cushman & Wakefield target appraisers’ pay

Lawsuits against Cushman & Wakefield target appraisers’ pay
The analysis predicts that office vacancies across the world will continue upward (iStock)

Report: Office market won’t return to glory until 2025

Report: Office market won’t return to glory until 2025
Cushman & Wakefield CEO Brett White and Industrious CEO Jamie Hodari (Industrious; Cushman)

Cushman partners with Industrious in bid to bring the office back

Cushman partners with Industrious in bid to bring the office back
arrow_forward_ios

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

Loading...