Tishman Buys 183 Madison for $185M

Tishman Speyer Properties, together with the Cogswell-Lee Development Group, has entered into an agreement to purchase 183 Madison Ave. in New York City for $185 million, or $674 per square foot. The Argentinian real estate development firm IRSA is selling the art deco building known as the Madison-Belmont Building on East 34th and Madison. According to a New York Post article, Tishman is expected to target the building toward tech, advertising, media and Internet (TAMI) companies. Terms of the deal were not disclosed. IRSA and Rigby Asset Management purchased the building in 2010 for $85.1 million before IRSA took over full ownership of the building, as the Post noted.

The 274,413-square-foot building was designed by Warren & Wetmore, which also designed Grand Central Terminal, and was completed in 1925 for the Merchants & Manufacturers Exchange of New York as office and showroom space for silk companies in the developing Silk District of Manhattan. According to a press release from Tishman, the property is currently 95% leased.

"183 Madison Avenue, a magnificent property in the heart of one the world's leading magnets for technology, media, design and entertainment firms,” Tishman Speyer Co-CEOs Jerry Speyer and Rob Speyer said in a prepared statement. "Along with Tishman Speyer's recent acquisition of nearby 175 Varick Street, this continues our strategy of investing in New York City's fastest growing submarkets, including Midtown South, Hudson Yards and Long Island City."

For more news and information visit Blumberg Capital Partners.

Tishman Speyer Buys NYC Development Site for $438M

Tishman Speyer announced this week that it had acquired the rights to develop a 2.85 million square foot tower in Midtown Manhattan's Hudson Yards district, purchasing two undeveloped and adjacent parcels of land on 10th Ave. between West 34th St. and West 35th St. The assembled development site, which was acquired in separate transactions, paid $438 million for the development site, according to a Wall Street Journal report. The assemblage, along with the ability to purchase additional development rights that are available to Hudson Yards district developers, offers Tishman Speyer the rare opportunity to develop and construct a 2.85 million square foot tower in the heart of Manhattan's expanded west side neighborhood and business district.

"For several decades, Tishman Speyer has been one of the world's most active ground-up developers and investors, with projects currently being constructed or in the pipeline on four continents," said Tishman Speyer Co-CEOs Jerry Speyer and Rob Speyer in a statement. "We are very bullish on New York City and Hudson Yards, and found this to be the perfect time, development site and opportunity to participate in establishing Hudson Yards as the world's next great commercial district and neighborhood."

"New York needs more office space," added Rob Speyer. "There's a scarcity of large blocks of space that's going to be more pronounced in years ahead."

For more news and information visit Blumberg Capital Partners.

Tishman Speyer Forms New JV for Office Portfolio

Tishman Speyer Australia Limited, in its capacity as responsible entity of Tishman Speyer Office Fund (TSOF), announced that it has entered into an agreement to be acquired by a new joint venture between Tishman Speyer and a large pension fund. Tishman completed the transaction on April 3 with the new JV taking majority ownership interests in a portfolio of 16 U.S. office properties.

The joint venture holds a 100% stake in four properties - three Class A properties in Beverly Hills, California and a three-building suburban complex in Northern Virginia according to a Citybizlist New York article.

• Lakeside Complex (Loudon County, VA)
• Maple Plaza (Beverly Hills)
• 407 North Maple Dr (Beverly Hills)
• Beverly Mercedes Place (Beverly Hills)

The JV also holds a majority stake in a portfolio including the 12 properties listed below (the minority interest in this group of assets will continue to be held by an affiliate of the Government of Singapore Investment Corporation).

• 300 Park Avenue (NYC)
• CitySpire (NYC)
• Greenwich American Centre (Greenwich, CT)
• Bala Plaza (Bala Cynwyd -- suburban Philadelphia)
• Franklin Center - 227 W Monroe (Chicago)
• Franklin Center - 222 West Adams (Chicago)
• Plaza East I & II (Milwaukee)
• 520 Pike Tower (Seattle)
• One Bush Street (San Francisco)
• 595 Market Street (San Fran)
• Bayside Towers (Foster City, CA)
• 400 Castro St (Mountain View, CA)
• Lakeside Complex (Loudon County, VA)
• Maple Plaza (Beverly Hills)
• 407 North Maple Dr (Beverly Hills)
• Beverly Mercedes Place (Beverly Hills)

"This transaction marks the disposition by TSOF of its assets on terms that represent a successful outcome for all stakeholders," Tishman Speyer Co-CEOs Jerry Speyer and Rob Speyer said in a joint statement. "Looking forward, we are very excited about the formation of this joint venture and we’re pleased that our partner recognizes the value of this portfolio of premium properties and has joined us in making this significant investment."

For more news and information visit Blumberg Capital Partners.

Tishman Picks up VA Office Tower for $205M

Beacon Capital Partners sold a Class A office tower in Arlington, Virginia this week to Tishman Speyer for $205 million, or $523 per square foot, according to a CoStar report. While no brokers were disclosed for Tishman, Beacon Capital was represented by Cassidy Turley Commercial Real Estate in the deal. Tishman said that they plan to launch improvements on the property including renovations to the lobby and elevators along with adding a fitness center.

The 19-story property at 1300 N. 17th Street was built in 1980 in the Rosslyn-Ballston corridor outside of DC and features a full service cafe and five levels of underground parking. "We're very pleased with this opportunity to increase our presence by acquiring this attractive property in one of the nation's strongest office submarkets," said Tishman Speyer Co-CEOs Jerry Speyer and Rob Speyer. "With the availability of convenient, Class A space in short supply, Tishman Speyer is well positioned to take advantage of the emerging local marketplace opportunities."

For more news and information visit Blumberg Capital Partners.