Lehman Brothers is looking to sell its 90 percent stake in 425 Park Avenue, the Wall Street Journal reported. The 31-story, 567,340-square-foot building, located in Midtown East, is slated to be demolished and replaced with a 650,000-square-foot Norman Foster-designed office tower being developed by L&L Holdings, which owns the remaining 10 percent stake in the current building.
Lehman and L&L bought the property in 2006, and Lehman valued its 90 percent stake at about $84 million in 2007, according to bankruptcy documents viewed by the Journal.
It is looking to get far more than that amount for its stake, a source told the Journal, and has tapped Eastdil Secured to market the property. Earlier this month, Lehman sold a 21-story, 1.2 million-square-foot building at 237 Park Avenue to RXR Realty for $800 million. [WSJ] — Hiten Samtani