Premier Midtown South Building
NEW YORK–(BUSINESS WIRE)–
SL Green Realty Corp. (NYSE:SLG), New York City’s largest commercial
property owner, announced today that it has entered into a definitive
agreement to acquire Eleven Madison Avenue in New York City for $2.285
billion plus approximately $300 million in costs associated with lease
stipulated improvements to the property. The building is being sold by a
joint venture of The Sapir Organization and CIM Group. The transaction
is expected to close in the third quarter of 2015, subject to customary
closing conditions.
Eleven Madison Avenue is a 29-story, 2.3 million square foot Class-A,
Midtown South office property that was built in 1929 and originally
served as the headquarters of Metropolitan Life Insurance Company. After
a $700 million modernization in the 1990s, it became the North American
headquarters of Credit Suisse, which continues to be the largest tenant
in the building today. It also will serve as the new headquarters for
Sony Corp. of America. The balance of the building is occupied by Yelp,
Young & Rubicam, William Morris Endeavor Entertainment, and Fidelity
Investments, along with the Eleven Madison Park restaurant, which earned
Three Stars from the Michelin Guide.
The property features an art-deco design highlighted by an Alabama
limestone exterior, elegantly appointed main lobby, state of the art
building systems, and large floor plates. It is also on the National
Register of Historic Places.
SL Green Co-Chief Investment Officer, Isaac Zion, commented, “Eleven
Madison Avenue is one of the best assets in New York City’s vibrant
Midtown South submarket, with floor-plate sizes, amenities, and a robust
infrastructure that are truly unique to the area. Occupying a full block
across from Madison Square Park, the building has direct connectivity to
One Madison Avenue, a 1.2 million square foot building that is leased to
Credit Suisse and also owned by SL Green.”
“After the past two years of repositioning the asset and value creation
through leaseup and renovations, we are pleased to consummate this sale
with SL Green”, said Alex Sapir, President of the Sapir Organization.
“We trust that they will continue to own and operate this trophy asset
in the same manner that we have over the past 12 years.”
The law firm of Greenberg Traurig, LLP represented SL Green. The seller
was represented by Darcy Stacom and Bill Shanahan of CBRE, Inc. along
with the law firm of DLA Piper (US).
About SL Green Realty Corp.
SL Green Realty Corp., an S&P 500 company and New York City’s largest
office landlord, is a fully integrated real estate investment trust, or
REIT, that is focused primarily on acquiring, managing and maximizing
value of Manhattan commercial properties. As of March 31, 2015, SL Green
held interests in 117 Manhattan buildings totaling 43.6 million square
feet. This included ownership interests in 29.0 million square feet of
commercial buildings and debt and preferred equity investments secured
by 14.6 million square feet of buildings. In addition to its Manhattan
investments, SL Green held ownership interests in 37 suburban buildings
totaling 5.9 million square feet in Brooklyn, Long Island, Westchester
County, Connecticut and New Jersey. For more information, please visit: https://slgreen.com/
About The Sapir Organization
The Sapir Organization is a group of privately and publicly held
companies, owned by Sapir family members. Collectively, this New
York-based real estate organization owns and manages approximately 6
million square feet of prime Manhattan commercial and residential space
including 2 Broadway, 260 Madison Avenue and 261 Madison Avenue. Founded
by Mr. Tamir Sapir, chairman, the Sapir Organization has embarked on
residential and multi-use projects under the leadership of Mr. Alex
Sapir and Mr. Rotem Rosen through ASRR LLC. The company’s development
arm is currently focused on a number of luxury boutique condominium and
hotel projects in Manhattan and Miami.
Forward-looking Statement
This press release includes certain statements that may be deemed to be
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995 and are intended to be covered
by the safe harbor provisions thereof. All statements, other than
statements of historical facts, included in this press release that
address activities, events or developments that we expect, believe or
anticipate will or may occur in the future, are forward-looking
statements. Forward-looking statements are not guarantees of future
performance and we caution you not to place undue reliance on such
statements. Forward-looking statements are generally identifiable by the
use of the words “may,” “will,” “should,” “expect,” “anticipate,”
“estimate,” “believe,” “intend,” “project,” “continue,” or the negative
of these words, or other similar words or terms.
Forward-looking statements contained in this press release are subject
to a number of risks and uncertainties, many of which are beyond our
control, that may cause our actual results, performance or achievements
to be materially different from future results, performance or
achievements expressed or implied by forward-looking statements made by
us. Factors and risks to our business that could cause actual results to
differ from those contained in the forward-looking statements are
described in our filings with the Securities and Exchange Commission. We
undertake no obligation to publicly update or revise any forward-looking
statements, whether as a result of future events, new information or
otherwise.
SLG – A&D
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SL Green
Andrew Mathias
President
-or-
Matt DiLiberto
Chief
Financial Officer
212.594.2700
Source: SL Green Realty Corp.
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