search

The Real Deal Logo

Trending

Lawmakers reach sweeping housing deal with “good cause eviction,” new 421aLawmakers reach sweeping housing deal with “good cause eviction,” new 421aCharles Cohen’s 750 Lex value slashed by 83%, foreclosure loomsCharles Cohen’s 750 Lex value slashed by 83%, foreclosure loomsMeridian’s Ralph Herzka gives rallying call, despite strugglesMeridian’s Ralph Herzka gives rallying call, despite strugglesOffice upgrades, concessions to lure tenants add “killer” cost: Steven RothOffice upgrades, concessions to lure tenants add “killer” cost: Steven Roth
New York

SL Green floats idea to move JPMorgan to 1 Vanderbilt

Complicated deal would swap space for bank’s HQ at 383 Madison and 270 Park

James Dimon, One Vanderbilt and Marc Holliday
James Dimon, One Vanderbilt and Marc Holliday

SL Green Realty is floating a plan to move JPMorgan Chase from two buildings it owns in The Plaza District to the landlord’s under-construction One Vanderbilt tower.

The bank is considering SL Green’s [TRDataCustom] proposal to essentially swap its headquarters at 383 Madison Avenue and 270 Park Avenue for space at the 1.7 million-square-foot building under construction overlooking Grand Central Terminal.

Decision makers at JPMorgan are open to the idea, but haven’t started negotiations with SL Green, the Wall Street Journal reported.

Sign Up for the undefined Newsletter

One of the challenges in luring the bank to the new property is that since JPMorgan owns its buildings, it’s not under any pressure to move. The bank did make it clear, however, that it would be open to relocating when it negotiated a package of tax incentives to move to the Related Companies’ Hudson Yards megaproject – a deal that fell apart in late 2014.

During a call with investors last Monday, SL Green’s Marc Holliday said the developer was working on a deal to sell a 28 percent stake in One Vanderbilt to a foreign investor. TD Bank is anchoring the under-construction tower.

The city’s biggest office landlord pulled of a blockbuster deal with another Wall Street firm earlier this year when it sold Citigroup its headquarters at 388-390 Greenwich Street in Tribeca for $2 billion. [WSJ] – Rich Bockmann

Tags
JPMorgan ChaseSL Green