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HNA’s 245 Park Avenue is officially for sale
HNA looking to unload $4B in US property amid rising debt problems
HNA Group will put $4 billion in U.S. properties on the market, including 245 Park Avenue, the Manhattan office tower it paid $2.2 billion for just last year.
The Chinese conglomerate is looking to address its mounting debt by liquidating the holdings, Bloomberg reported. HNA has begun relying on investments from employees to meet its obligations.
Other buildings HNA is putting on the block include the Cassa Hotel and 850 Third Avenue in Manhattan and 123 Mission Street in San Fransisco. As of December, the company was not planning to list 245 Park.
An affiliate brokerage of HFF will handle marketing. According to data from Real Capital Analytics, HNA owns more than $14 billion in real estate worldwide.
Last fall, the Chinese government announced an increase in regulations discouraging outbound capital in high volumes, putting more pressure on firms like HNA, which has been spendings billions on U.S. real estate, to reign in its spending. [Bloomberg] — Will Parker