Deal is for office condo for $633M
One of Invesco’s institutional investors has acquired the office portion of 1745 Broadway from SL Green and Ivanhoe Cambridge for $633 million. The office condo spans 674,000 SF and is 100 percent leased. With Publisher Penguin Random House occupying 603,605 square feet until 2033, the deal provides nice steady cash flow.
Dig Deeper: At $939 a foot, the deal traded at a 3.77 cap, according to a press release from SL Green.
Quotable: SL Green’s David Schonbraun stressed the importance of securing a long-term lease and extension with Random House. Once the asset was stabilized, “we determined that this was the right time to monetize our success with the property and redeploy the capital.”