SL Green Sells Stake in Manhattan Skyscraper
SL Green Realty Corp. has sold an 11 percent ownership interest in One Vanderbilt, its 1.7 million-square-foot skyscraper in Manhattan. Mori Building Co. acquired the stake in a deal that valued the property at $4.7 billion.
SL Green will continue to own a 60 percent stake in the 59-story tower that was fully leased at the time of closing. The National Pension Service of Korea owns a 27.6 percent interest in the property, while Hines owns 1.4 percent, according to The Real Deal.
Last year, an affiliate of Mori Trust Co. purchased a 49.9 percent stake in SL Green’s 245 Park Ave., a 1.8 million-square-foot tower less than a mile from One Vanderbilt. That transaction valued the asset at $2 billion.
READ ALSO: Manhattan Office Shows Strength in a Still Lackluster Market
Designed by Kohn Pedersen Fox Associates, the high-rise came online in 2020 in Midtown Manhattan. In June 2021, the developer took out a $3 billion permanent CMBS loan from Wilmington Trust and originated by Wells Fargo Bank, according to CommercialEdge information.
The LEED Platinum-certified building features 35,846-square-foot floorplates, 187,000 square feet of retail space, the SUMMIT One Vanderbilt observation deck, a 30,000-square-foot amenity floor with a 140-seat auditorium and a 30-seat boardroom, social spaces and an expansive outdoor terrace. The skyscraper also has multiple dining options.
The transit-oriented tower rising at 1 Vanderbilt Ave. is also close to the Rockefeller Center and less than a mile from the Empire State Building.
Manhattan’s office sector shows signs of improvement
Manhattan’s office investment volume in the first 10 months of the year totaled nearly $3.3 billion, leading nationally, according to a recent CommercialEdge office report. The price per square foot averaged $344, almost twice the national average of $177. Additionally, the borough’s vacancy rate in October clocked in at 16.7 percent, below the 19.4 percent national index.
The market is showing metric improvements, especially in vacancy rate drops and steady investment volume. Earlier this week, Savanna bought 799 Broadway, a 176,588-square-foot office building for $255 million. Columbia Property Trust and Cannon Hill Capital Partners sold the asset for about $1,444 per square foot.
In September, Bushburg entered the market with the purchase of 110 Maiden Lane, a 38-story, 1.1 million-square-foot tower in the borough’s Financial District. Rudin sold the property for $160 million.
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