MetroLoft founder’s 20 Broad Street deal valued at $200M

Nathan Berman acquiring leasehold from Vornado for $423 per sf

New York /
Oct.October 19, 2015 12:11 PM

UPDATED, 1:52 p.m., Oct. 19: MetroLoft founder Nathan Berman’s acquisition of the leasehold on 20 Broad Street is worth $200 million, or $423 per square foot, according to Vornado Realty Trust.

The real estate investment trust announced Monday that it entered an agreement to sell its leasehold interest in the 27-story, 473,000-square-foot Financial District property, with Berman intending “to convert the office building to residential.”

The deal for the building, which is ground-leased from the New York Stock Exchange until 2081, was reported earlier this month. While NYSE was also 20 Broad Street’s major tenant with nearly 400,000 square feet, Vornado said the two sides had agreed to an early termination of the stock exchange’s lease, which was due to expire in June 2016.

The REIT added that the total income from the transaction is around $156 million, with $141 million coming from gain on the sale and $15 million in lease termination income. The sale is expected to close in the fourth quarter.

While Vornado had itself weighed a residential conversion of the property, the deal paves the way for MetroLoft’s latest office-to-residential project in the Financial District – where it is also transforming buildings like 17 John Street, 20 Exchange Place And 180 Water Street.

Prince Realty Advisors’ David Ash and Alex Vial brokered both sides of the transaction, according to Ash. – Rey Mashayekhi


Related Articles

arrow_forward_ios
Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)

Free and clear: Vornado pays off debt at 220 CPS

Free and clear: Vornado pays off debt at 220 CPS
Vornado chairman and CEO Steven Roth, and 608 Fifth Avenue (Credit: Getty Images)

“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call

“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
Steven Roth, CEO of Vornado and 640 Fifth Avenue (Credit: Getty Images and Vornado Realty Trust)

Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue

Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
From left: 555 California Street in San Francisco, Vornado CEO Steven Roth and 1290 Sixth Avenue in Manhattan (Photos via Wikipedia Commons; Getty; Trump Org)

Vornado halts sale of office towers co-owned with Trump

Vornado halts sale of office towers co-owned with Trump
Clockwise from left: Ken Griffin, Michael Cantanucci, Albert Behler, Renata de Camargo Nascimento, Daniel Och and Sting and Trudie Styler

The stars and czars who’ve bought at 220 Central Park South

The stars and czars who’ve bought at 220 Central Park South
Steven Roth and 220 Central Park South, which has effectively created its own tier of the luxury market.

The inside story of the world’s most profitable condo

The inside story of the world’s most profitable condo
410 Tenth Avenue (Google Maps, iStock)

Real estate stocks had a big week. But are they still undervalued?

Real estate stocks had a big week. But are they still undervalued?
Clockwise from top left: Boston Properties' Owen Thomas; Empire Real Estate Trust's Tony Malkin; Equity Commonwealth's David Helfand; Columbia Property Trust's Nelson Mills; SL Green's Marc Holliday; Vornado Realty Trust's Steve Roth; and Brookfield's Brian Kingston (Getty)

Office unease: Tenants are paying up but staying away

Office unease: Tenants are paying up but staying away
arrow_forward_ios

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

Loading...