Melohn paid nearly $198M for 32 Old Slip interest

Firm purchased land in the 36-story office tower

TRD New York /
Apr.April 28, 2015 02:07 PM

UPDATED, 3:58 p.m., April 28: Melohn Properties paid $197.5 million for an interest in the land underneath 32 Old Slip, a Downtown office tower with 1.2 million square feet of space, according to property records filed with the city Tuesday.

RXR bought the property for $675 million in a deal that closed in April. According to the New York Observer, RXR then sold the land to a group of investors led by Brooklyn-based David Werner and did a 150-year leaseback arrangement with them.

Beacon Capital Partners paid $751 million for the property in 2007. The 36-story tower includes 1.2 million square feet of Class A office space. Insurer American International Group is the building’s largest tenant with roughly 260,000 square feet in a lease set to expire in 2017. Daiwa Capital Markets America, Crystal & Company and the U.S. Department of Education are also among the tenants.

Meridian Capital, which just launched an investment sales arm, brought GE Capital in to provide $325 million in financing for the deal, as the Observer reported.

Earlier this year, RXR agreed to sell a 50 percent in six of its office towers in Manhattan to Blackstone Group. The deal was valued at about $4 billion. The deal includes the Starrett-Lehigh building.

 In December, Melohn Properties sold a a 17-story rental building at 301 West 45th Street which it had owned since 1978 to Alan Wasserman’s S.W. Management Acquisitions for $132.5 million.

Correction: A previous version of this story incorrectly described Meridian’s involvement in the deal. Meridian was the broker for the financing. 

Related Articles

From left: WeWork CEO Adam Neumann, 630 Sixth Avenue, and RXR Realty CEO Scott Rechler

WeWork is taking 200K sf at RXR Realty’s
620 Sixth Avenue

RXR Realty's Scott Rechler and CBRE's MaryAnn Tighe (Credit: Emily Assiran)

Rechler and Tighe on the future of CRE and city politics

The We Company CEO Adam Neumann and RXR Realty CEO Scott Rechler and 75 Rockefeller Plaza (Credit: Getty Images and RXR Realty)

WeWork is going to manage office space at RXR’s 75 Rock

From left: Airbnb CEO Brian Chesky, 75 Rockefeller Plaza, and RXR Realty CEO Scott Rechler (Credit:RXR Realty and Getty Images)

Airbnb, RXR are converting a portion of Rockefeller Center

Airbnb leads $160M funding round alongside RXR, Tishman for hospitality startup

Scott Rechler’s RXR nearing unorthodox partnership deal with Airbnb

RXR closed $800M in debt over two days

RXR lands hefty refi for one of Brooklyn’s priciest office buildings