Articles of the week ending March 7th
State seeks developer for mixed-use project on Intrepid Museum parking lot
By Eddie Small, Crain’s New York Business
Gov. Kathy Hochul is seeking proposals for a mixed-use project with at least 25% affordable housing on a state-owned parking lot near the Intrepid Museum, as part of her push to increase New York’s housing supply.
Real Estate Effect of Trump, Musk’s Federal Office Downsize
By TRD Staff, The Real Deal
Trump and Musk’s federal downsizing plan shakes landlords, while lawsuits and market shifts make headlines.
Kushner Cos. acquires almost 40% stake in Lincoln Square school building for $10.4 million
By Julianne Cuba, Crain’s New York Business
Kushner Cos. acquired a nearly 40% stake in a Lincoln Square school building for over $10 million, amid its shift away from Manhattan properties.
Japanese Investor Takes 150K SF at RXR’s 1285 Sixth Avenue
By TRD Staff, The Real Deal
Mizuho Financial Group subleased 151,000 square feet at RXR’s 1285 Sixth Avenue, marking another major lease deal for the Midtown Manhattan building.
Investcorp takes bath in Garment District office short sale – The Real Deal
By TRD Staff, The Real Deal
Investcorp sold two Garment District office buildings in a short sale for less than $50 million, a steep loss from the $157 million it paid in 2017.
Carlyle Transfers UN Plaza Office Condos to Lender
By TRD Staff, The Real Deal
Carlyle Group transferred 29 UN Plaza office condos valued at $60.8 million to its lender, AllianceBernstein, after failing to sell them at auction.
Adam Gordon’s Wildflower buys College Point site for $35 million _ Crain’s New York Business
By Julianne Cuba, Crain’s New York Business
Wildflower Ltd., led by Adam Gordon, acquired a $35.8M Queens warehouse site from The New York Times Co. after completing construction and is seeking a tenant.
Universal Music In Talks For 300k SF Lease At Vornado’s Penn 2
By TRD Staff, The Real Deal
Universal Music Group is in talks to lease 300,000 square feet at Vornado’s Penn 2, reflecting strong demand for high-end office space in Manhattan.
Manhattan office building with troubled loan attracts new tenants
By Andria Cheng, CoStar News
Despite a troubled $260 million loan, Manhattan’s 5 Penn Plaza has attracted new tenants, including NY E-Health Collaborative and Dynatrace, bringing occupancy to 88% after a major renovation.
Manhattan leaders pitch new Penn Station megaproject with more housing
By Nick Graber, Crain’s New York Business
A new proposal backed by Midtown politicians aims to replace Vornado’s stalled Penn Station office project with a mixed-use development featuring more housing, gaining early support from officials, landlords, and labor unions.
Macy’s expects to close fewer real estate sales this year
By Linda Moss, CoStar News
Macy’s plans to close 150 stores by 2026 and expects lower real estate sales this year as part of its turnaround strategy to monetize assets and improve financial viability.
Landlord Concessions Fell In 2024, Another Sign Of Office Market Turnaround
By Bianca Barragan, Bisnow
Landlord concessions for office leases declined in 2024 for the first time since 2019, signaling a market recovery, with top-tier buildings seeing rising effective rents while lower-tier properties struggled due to financial constraints.
Corigin Refinances NYU’s Largest Dormitory With $180M Loan
By TRD Staff, The Real Deal
Corigin secured a $180 million loan from Apollo to refinance NYU’s largest dormitory, Lafayette Hall, with a 10-year master lease extension starting in 2027.
Carlyle Transfers UN Plaza Office Condos to Lender
By TRD Staff, The Real Deal
Carlyle transferred 29 office condos at 866 United Nations Plaza to lender AllianceBernstein after a failed auction, valuing the units at $60.8 million.
Behind The ‘Battle’ To Complete The Country’s Largest Office-To-Residential Conversion
By Ciara Long, Bisnow
The 25 Water Street project became the largest office-to-residential conversion in U.S. history, transforming a former JPMorgan office into a 32-story, 1,320-unit luxury apartment tower with extensive amenities and affordable housing incentives.
Trump’s Tariffs Roller Coaster Causing ‘Major Whiplash’ For CRE
By Ryan Wangman, Bisnow
Trump’s unpredictable tariff policies are creating uncertainty in commercial real estate, increasing construction costs, delaying deals, and forcing developers to adjust strategies amid fluctuating trade conditions.
Office Developers Plan To Build Towers in NYC Once Again
By Rich Bockmann, The Real Deal
Developers are ramping up plans for high-end office towers despite financing challenges, anticipating strong demand from deep-pocketed tenants by the next decade.