Beacon Capital Makes Two Major Plays

NEW YORK CITY-Beacon Capital Partners has agreed to buy 1211 Ave. of the Americas, between 47th and 48th streets, for more than $1.5 billion. The company was among more than 30 investors that bid on the 45-story, 33-year-old office building. At the same time, the company has purchased the largest building in Westchester County, Westchester One for $181.5 million.

In Manhattan, the transaction is believed to be the second-largest, single-asset commercial real estate transaction ever in the US, after the $1.72-billion sale last year of the MetLife Building at 200 Park Ave., connected to Grand Central Terminal. Doug Harmon of Eastdil was exclusive representative for the transaction.

The tower is supposedly near 100% occupancy with more than 500,000 sf, currently asking about $55 a sf, scheduled to expire within the next six years. Average asking rents for class A office space along the Avenue of the Americas near Rockefeller Center are around $60 per sf, according to research by Cushman & Wakefield. Rents in the neighborhood, though, can reach as high as $110, depending on the building or floor.