The 50-story, nearly 2.6-sf million 1221 Avenue of the Americas, which sold for approximately $394 per sf, will continue to be known as the McGraw Hill Building. McGraw Hill's corporate headquarters offices and two of its businesses--BusinessWeek and Standard & Poor's Corporate Value Consulting--will remain at the Rockefeller Center location in a 17-year lease deal. Other tenants at the 100% leased site include Rockefeller Group International Inc., Morgan Stanley, and JP Morgan Chase & Co. Sublease space is currently available at prices ranging from $55 to $65 per sf.

Harold McGraw III, McGraw Hill chairman, CEO and president, says the sale is consistent with its strategy to focus on core assets and that the timing was right for the deal. The company has owned its interest and maintained a significant presence in the building since its construction in 1972. McGraw Hill also has long-term leases, rather than ownership interests, at many of its major offices, including 2 Penn Plaza and 55 Water St. in New York City and its new London headquarters at Canary Wharf.

Strategy was also a key factor for SL Green. "It aligns perfectly with our strategy of consistently upgrading the portfolio while generating substantial and immediate earnings growth, long-term value creation and investing with top caliber partners," explains Marc Holliday, president of SL Green.