Montreal-based Ivanhoé Cambridge, Inc. and its financial investment partner, Callahan Capital Residence (CCP), have actually obtained the 30-story, 1.12 million-square-foot 85 Broad St. in New York City for approximately $650 million, or about $580 per square foot, from a joint-venture between MetLife Real Estate and Beacon Capital Partners.
MetLife previously owned the tower before inducing Beacon in a $175 million, 50/50 recapitalization of the workplace tower in November 2014, according to CoStar information. At the time, the structure was simply 45 percent leased after Goldman Sachs left its area in the structure in 2010.
See CoStar COMPS # 3166647.
The workplace tower was integrated in 1983 in downtown Manhattan’s financial district, in between S. William and Pearl Streets.
A recent capital improvement program at the residential or commercial property concentrated on raising existing building amenities and adding tenant services consisting of a bike room, wellness center, conferencing facilities and new food offerings. Following the improvements, shared office company WeWork rented 235,000 square feet there, and today the asset is nearly 88 percent rented to such tenants as Oppenheimer & & Co., The Nielsen Company and VOX Media. Numerous full-floor accessibilities listed by Newmark Grubb Knight Frank provide to 76,814 square feet of adjoining space.
Eastdil Protected brokered the sale on behalf of the sellers.
“This acquisition expands our footprint and brings our New york city office portfolio to more than 6.7 million square feet,” stated Arthur Lloyd, president, office, North America, Ivanhoé Cambridge, the realty subsidiary of Caisse de dépôt et placement du Québec.
Ivanhoé Cambridge chose Callahan Capital Residence in 2012 to become its special consultant in broadening its United States workplace real estate portfolio. To date, CCP has helped Ivanhoé Cambridge in expanding its office financial investments in five significant US markets; Chicago, Denver, Los Angeles, New york city and Seattle.
“We believe downtown uses incredible long-term growth possible offered the enormous public and private investment that continues to bring in a broad variety of companies and citizens,” included Tim Callahan, ceo of CCP on his company’s venture into the downtown Manhattan office market. Prior to establishing CCP in 2006, Callahan was CEO of previous national office REIT Trizec Characteristic, Inc.
. The acquisition of 85 Broad Street is the 2nd significant workplace home Ivanhoé Cambridge and CCP have acquired up until now this month. Earlier in May they closed on the $145 million acquisition of 125 South Wacker Drive in downtown Chicago.
Please see CoStar COMPS # 3915769 for additional info on this transaction.