SJP Properties and longtime partner Prudential Financial bought the Midtown South office building at 470 Park Avenue South for $245 million.
“The location of 470 Park Avenue South has become one of the most desirable neighborhoods in Manhattan for a diverse cross-section of companies,” SJP CEO Steven Pozycki said in a statement, Commercial Observer reported.
The sellers are the Norwegian sovereign wealth fund Norges Bank Real Estate and Nuveen, the subsidiary of TIAA formerly known as TH Real Estate.
Pozycki’s SJP Properties teamed up with PGIM, the investment-management arm of New Jersey-based Prudential, which has financed numerous projects with the developer, such as 11 Times Square.
SJP will be the managing partner of the 17-story 300,000-square-foot building, which is 87 percent leased to tenants like Priceline, marketing consultant Distillery Inc and music agency Opus 3 Artists, according to CO.
Nuveen bought the building for $157 million in 2007, and Norges acquired a 49 percent stake in the property in 2013 when it teamed up with Nuveen on a $1.2 billion portfolio.
Eastdil Secured represented Nuveen and Norges in the sale. Nuveen brought the firm on to market its stake in the property in June, as The Real Deal reported.
SJP will first focus on leasing a full-floor, pre-built space that will be marketed to technology and creative companies. [CO] – Rich Bockmann