Cushman & Wakefield has been tapped to handle the marketing efforts for the property, a spokesperson confirmed to GlobeSt.com. Richard Baxter, who is handling the marketing of the sale, along with Ron Cohen, Scott Latham and Jon Caplan, tells GlobeSt.com that SL Green is repositioning the property. Baxter notes that the property is 99% occupied at this time; however, 30% of the building is rolling over within the next five years.
The building went on the market only yesterday, Baxter confirms to GlobeSt.com, adding that he expects many buyers to show interest. Market rents are about $60 per sf in the area, however the asking rents in the building are in the mid-$30s.
Deborah Jackson, executive managing director of Weiser Realty Advisors LLC, who was not involved in the deal, confirms that the $350-million number is a good estimated price for the building. "The price is supported if you look at recent sales." For example, only five streets north, 1372 Broadway, a smaller 534,000-sf office property previously owned by SL Green, went for $335 million this past July.
SL Green is not currently commenting on the potential sale, besides the confirmation to GlobeSt.com that they have decided to market the property and have begun to do so. The tower property is the tallest reinforced concrete building in Manhattan and is the only glass and steel structure of its kind in the neighborhood, according to SL Green. It boasts windows on all sides and offers panoramic cityscape and river views. Major tenants include Archstone-Smith, Reserve Management, Visiting Nurse Service of NY and Woori Bank.
SL Green has been in the news recently with deals including: the first mortgage financing for 16 Court St. for $110 million as GlobeSt.com exclusively reported; the acquisition of two Downtown office buildings at 388 and 390 Greenwich St. for $1.6 billion as GlobeSt.com reported; an office redo completion for $25 million at 521 Fifth Ave.; and the sale of 440 Ninth Ave. to a joint venture between locally based duo Paramount Group Inc. and Sherwood Equities Inc. for $160 million.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
