Reckson Sells 49% of Third Ave. Building for $221 Mil

MELVILLE,NY-Reckson Associates Realty Corp. sold a 49% stake in the 1.4 million-sf building at 919 Third Ave. to the New York State Teachers’ Retirement System for roughly $221 million. Reckson bought the property just over a year ago for $278 million.

NYSTRS was advised by JPMorgan Fleming Asset Management in the transaction and acquired the joint venture interest based on a property valuation of $450 million. Reckson received about $98 million of net cash proceeds from the sale.

The deal is part of Reckson’s ongoing capital recycling program, which raked in $342 million for the firm this year. The latest sale conforms to the company’s strategy of purchasing, redeveloping and selling distressed assets in core markets.