Search
 

Brookfield Grabs 100% Control of 2M SF

BOSTON-Rreef gets nearly $525 million for a 49% share in 53 and 75 State St., two class A towers in Boston's Financial District.

By Joe Clements | Updated on January 16, 2008

BOSTON-The 100% takeover of two Financial District office towers by Brookfield Asset Management Inc. is being confirmed by sources close to the blockbuster deal, which is valued at nearly $525 million. First reported by GlobeSt.com in its Dec. 28th edition, minority partner Rreef has abdicated a 49% share of 53 and 75 State St., among the city’s most elegant and highest-yielding commercial properties. Collectively, the towers total 1.9 million sf of class A space.

The Capital Markets Group at Cushman & Wakefield was able to complete the massive transaction amidst a deteriorating climate that shelved many high-profile assets entering the sales arena last summer. Contacted by GlobeSt.com, C&W investment sales chief Robert E. Griffin Jr. declined to provide details about the transaction, citing confidentiality agreements. Industry sources, however, say the deal is in the range of $550 per sf.

Rreef, the real estate arm of Deutsche Bank, bought into the towers in April 2000 for $337 million. Some observers maintain the firm was never comfortable with an arrangement that gave limited control over property related decisions, contributing to its decision to divest. A spokeswoman for Rreef, Cindy Talmadge, declined comment on the matter when contacted by GlobeSt.com, saying only that, “we don’t respond to things like that.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.