Trending

CIC bidding for 49% stake in 1515 Broadway, valuing tower at $2B

SL Green will net $555M in cash from sale

UPDATED, June 21, 3:00 p.m.: China Investment Corp. is bidding to buy a 49 percent stake in SL Green Realty’s [TRDataCustom] 1515 Broadway, in a deal that could value the 1.75 million-square-foot tower at around $2 billion, or around $1,142 per square foot.

On Tuesday Real Estate Alert reported that a deal had been reached, but on Wednesday an SL Green spokesperson denied the report. “The published reports indicating the execution of a definitive agreement for an interest in 1515 Broadway are false,” he said.  “We have received interest from multiple prospective investors, both foreign and domestic,  and we are currently evaluating the offers.”

There is an $884 million mortgage on the property, meaning SL Green would take in around $555 million in cash through the sale, Real Estate Alert reported.

Sign Up for the undefined Newsletter

Viacom is the largest tenant in the property, which was 97.3 percent occupied as of March. In the first quarter, the tower generated around $117 million in annualized revenue, according to the report. Cushman & Wakefield is marketing the property for sale.

Crain’s first reported in January that SL Green is marketing a stake in the tower.

Last year, CIC, which is a Chinese sovereign wealth fund, bought a 45 percent stake in 1221 Sixth Avenue, valuing the building at $1 billion. CIC reportedly had $814 billion in assets under management as of July. [REA] — Konrad Putzier

(To view more of China Investment Corp.’s commercial sales transactions, click here)

Recommended For You