The Real Deal New York

Mitsui Fudosan pays $259M for stake in 55 Hudson Yards

Related Group's 1.3 million sf tower set to rise in early 2015
By Rich Bockmann | December 30, 2014 01:45PM

The U.S. investment arm of Japanese development firm Mitsui Fudosan paid around $259 million earlier this month for a stake in Related’s next Far West Side office tower, 55 Hudson Yards, property records filed today show.

Mitsui Fudosan America paid $258.8 million to buy a stake in Related’s 1.3 million square-foot, Kohn Pederson Fox-designed tower at 11th Avenue between 33rd and 24th Streets. It was not clear, however, what percentage of the project Mitsui purchased. Related could not be immediate reached and Mitsui declined to comment.

Mitsui Fudosan America owns properties such as the trophy Rockefeller Center office tower, 1251 Avenue of the Americas and is a partner in the 391-unit 160 Madison rental building.

Related also received $501 million in financing from the New York City Industrial Development Agency, and paid $90.5 million to buy roughly 398,000 square feet of air rights from above the Metropolitan Transportation Authority’s eastern rail yards.

JP Morgan Chase had eyed the 55 Hudson Yards site as well as another directly to the east as the possible future home for its headquarters, but negotiations broke down in the fall and now Related plans to break ground on the building early next year.