SL Green to sell 600 Lexington for $305M

REIT also entered contract earlier this week to sell 1515 Broadway stake in $2B deal

New York /
Nov.November 17, 2017 01:55 PM

Mark Holliday and 600 Lexington Avenue (Credit: SL Green, 42 Floors)

SL Green Realty is contract to sell its 300,000-square-foot office tower at 600 Lexington Avenue for $305 million to an unidentified U.S.-based insurance company.

The $1,005-per-square-foot deal is set to close in the first quarter of 2018, the Commercial Observer reported.

CBRE’s Darcy Stacom and Bill Shanahan represented SL Green in the negotiations. The deal was struck relatively quickly after the tower hit the market in October.

And earlier this week, SL Green announced it entered a contract to sell a 43 percent stake in the 57-story tower at 1515 Broadway to German investor Allianz Real Estate in a deal valuing the Times Square property at $1.95 billion. The pricing on that deal works out to $1,045 per square foot.

“Since the end of the summer, I’ve seen enormous pickup in sales activity [in Midtown],” SL Green CEO Marc Holliday told the CO. “Not just our two transactions, but all the other sales that have gone into contract in the past sixty days. The prices we’re seeing being achieved today are just as high or higher than what we’ve seen in the last 12 to 24 months. Global investors still have an enormous appetite for well-located Manhattan office.”

SL Green purchased 600 Lexington in a joint venture with the Canadian Pension Plan Investment Board in 2010 for $193 million, or $636 per square foot. The real estate investment trust bought the pension board’s 45 percent stake in December 2015 for $284 million. [CO]Rich Bockmann


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
SL Green CEO Marc Holliday (Getty, Sl Green)
SL Green shareholders cry foul on CEO bonus
SL Green shareholders cry foul on CEO bonus
The New York Life Sciences and Biotechnology Center at First Avenue and 41st Street (NY Life Sciences)
Life sciences leasing breaks annual record in five months
Life sciences leasing breaks annual record in five months
The commercial market was hit hard by the pandemic, and property tax revenue is expected to fall 5 percent. (iStock)
Tax bills show how much Covid devalued NYC real estate
Tax bills show how much Covid devalued NYC real estate
Richard Segal of Seavest Investment Group, David Marx of Marx Development Group and 902 Quentin Road in Brooklyn (Photos via Seavest Investment Group, Marx Development Group and VRMNY)
Westchester firm buys $54M Brooklyn medical building
Westchester firm buys $54M Brooklyn medical building
SL Green’s Marc Holliday with One Vanderbilt. (SL Green, KPF Architects)
$3B refi of One Vanderbilt set to close in two weeks: report
$3B refi of One Vanderbilt set to close in two weeks: report
arrow_forward_ios

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

Loading...