Kushner Companies sells stakes in 85 Jay site and Columbia Heights complex
It sold a 2.5 percent stake to its partner in the development CIM Group
Kushner Companies sold its minority interests in two key portions of the former Jehovah’s Witness headquarters in Dumbo, in an effort to focus on larger developments in its portfolio.
The company bought into the five-building complex in 2016, in a joint venture with CIM Group and LIVWRK Holdings for $340 million. It sold its 2.5 percent in the complex at 25-30 Columbia Heights and another 2.5 percent stake in the proposed skyscraper site 85 Jay Street to CIM Group, totaling about $17 million, according to the New York Post.
Kushner Companies is offloading some of its smaller investments to focus on projects where it held larger stakes, the Post reported, citing sources.
After undergoing an $80 million renovation, which included the removal of the iconic “Watchtower” sign that overlooked East River, the project was named Panorama. Office leases in the building are expected to fetch up to $80 per square foot.
At 85 Jay Street, the three developers secured a $600 million construction loan in April for a proposed $1.1 billion at the site, which is currently a parking lot. Now, only CIM Group and LIVWRK hold interests in the building.
The news follows Kushner Companies head Charlie Kushner’s recent pull-no-punches interview with The Real Deal, where he responded to the streams of negative press his company has received and spoke about Brookfield’s purchase of the remaining 49.5 percent stake in 666 Fifth Avenue. “Our business is plowing ahead like a bulldozer and we just keep moving forward,” he said. [NYP] — David Jeans