Democratic Underground Latest Greatest Lobby Journals Search Options Help Login

Midtown office tower sold at deep discount

Printer-friendly format Printer-friendly format
Printer-friendly format Email this thread to a friend
Printer-friendly format Bookmark this thread
This topic is archived.
Home » Discuss » Archives » General Discussion (1/22-2007 thru 12/14/2010) Donate to DU
FarCenter Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-07-09 12:16 PM
Original message
Midtown office tower sold at deep discount

The independently operated subsidiary of CB Richard Ellis Inc. wouldnt say how much it paid for 1540 Broadway but sources say the 44-story building had a $355 million price tag. Sources say Mr. Macklowe paid around $950 million when he bought a portfolio of seven buildings for $7 billion. He was forced to return all of them to his lenders when he couldnt repay his loan. One buildingWorldwide Plaza on 8th Ave.has yet to sell.


The sales volume of Manhattan office properties plunged 69% last year to the lowest level since 2005, according to CB Richard Ellis Inc. Sales volume hit $12.1 billion last year, down from $38.6 billion in 2007. Forty-seven towers were sold, a 63% decline from the 128 trades in 2007.

The environment worsened as the year progressed. The company said only 6% of last years volume happened in the fourth quarter, down from 20% to 30% in recent years.

And I can't imagine why they are still at work on rebuilding the World Trade Center. There is no demand for office space.

Printer Friendly | Permalink |  | Top
marmar Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-07-09 12:17 PM
Response to Original message
1. It's getting butt-ugly.......

Printer Friendly | Permalink |  | Top
KharmaTrain Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Mar-07-09 12:36 PM
Response to Original message
2. A Lot Of These Buildings Were On The Boards For Years
We're seeing a similar picture here in Chicago. Trump was lucky to get his building done right under the wire and he's facing legal battles over tennants who want price reductions. Another skyscrapper in the planning down the river sits at 29 stories and holding instead of the 90 that are planned and all work has stopped. The Spire...a 2,000 foot monster is now nothing but a big hole in the ground as financing for any further work is in limbo after the foundation was set.

This reminds me of the recession of the early 90's...a glut of office space at that time depressed prices, but they did recover. I don't see that happening here anytime soon.

Another problem are the condos that sprung up in recent years. Old buildings were rehabbed in hopes of luring the city dwelers back downtown. Some of these units were being offered at seven figures. It'll be interesting to see how those sales are going.
Printer Friendly | Permalink |  | Top
DU AdBot (1000+ posts) Click to send private message to this author Click to view 
this author's profile Click to add 
this author to your buddy list Click to add 
this author to your Ignore list Tue Jan 24th 2017, 10:18 AM
Response to Original message
Advertisements [?]

Home » Discuss » Archives » General Discussion (1/22-2007 thru 12/14/2010) Donate to DU

Powered by DCForum+ Version 1.1 Copyright 1997-2002
Software has been extensively modified by the DU administrators

Important Notices: By participating on this discussion board, visitors agree to abide by the rules outlined on our Rules page. Messages posted on the Democratic Underground Discussion Forums are the opinions of the individuals who post them, and do not necessarily represent the opinions of Democratic Underground, LLC.

Home  |  Discussion Forums  |  Journals |  Store  |  Donate

About DU  |  Contact Us  |  Privacy Policy

Got a message for Democratic Underground? Click here to send us a message.

© 2001 - 2011 Democratic Underground, LLC