Chinese developer eyes stake in GM Building
A group headed by Zhang Xin, one of China’s biggest developers, is now in advanced negotiations to buy a 40 percent stake in the General Motors Building in Midtown, the Wall Street Journal reported. If the deal goes through, it would value the 50-story tower at roughly $3.4 billion and make for one of the biggest acquisitions of a single American property by a Chinese investor.
The sellers include the sovereign wealth funds of Kuwait and Qatar, which enlisted CBRE Group to market their stake. Mort Zuckerman’s Boston Properties would retain its 60 percent interest in the building if the deal goes through.
Zhang is a principal of Soho China Ltd., an owner of office properties, but the GM purchase would be made by her family.
The 1.8 million-square-foot property was 95 percent leased as of Dec. 31. Donald Trump and Harry Macklowe previously owned the building. [WSJ] —Zachary Kussin