REITs buy into 2 Herald Square

SL Green Realty Corp. and Gramercy Capital Corp. have purchased the fee interest in the Marbridge Building at 2 Herald Square, also known as 1328 Broadway, for $225 million. The investment was made in connection with Sitt Asset Management’s acquisition of a 70-year leasehold interest in the 11-story, 354,400-square-foot office and retail building for more than $275 million. The deal allowed both the joint venture and Sitt to accommodate 1031 exchanges. The sellers were a group led by RFR Holding that includes the Goelet family, according to earlier reports. Tenants in the building’s 128,500 square feet of retail space include H & M and Victoria’s Secret. more [GlobeSt]