An Asian real estate group is partnering with Hines and Goldman Sachs to revive a project to expand the Museum of Modern Art and building 145 luxury condos.
Hines announced today (Wednesday) that Pontiac Land Group of Singapore has joined Hines and the Goldman Sachs Real Estate Principal Investment Area in the ownership of 53 West 5rd Street, the residential condominium development to be constructed adjacent to the Museum of Modern Art (MoMA).
In addition to their equity investment -which according to the Wall Street Journal is $300 million – Pontiac Land secured $860 million of construction financing to be funded by a consortium of Asian banks.
The 72-story, 750,000 s/f tower, designed by Pritzker Prize-winning architect Jean Nouvel, will house 145 “highest-end condominium residences” designed by architect Thierry Despont.
In addition, the building’s lower floors will include 36,000 s/f of new exhibition spaces distributed over three floors, designed for MoMA by architects Diller Scofidio + Renfro.
Hines and Goldman Sachs acquired the 18,000 s/f site, located between 53rd and 54th streets just west of MoMA, for $125 million from the museum in 2007.
Following an international architectural competition, Nouvel was selected as the design architect. The tower was originally proposed to be 1,250 feet tall; and, as part of the Special Permit process in 2009, the height was reduced to 1,050 feet. All discretionary approvals necessary to build the project are in place and construction is expected to begin in mid 2014 with initial occupancy in late 2018.
Lend Lease has been designated as the general contractor and Corcoran Sunshine Marketing Group will handle the project’s marketing and sales, which are expected to begin in 2014.
The tower will include an “extensive” package of amenities including “spectacular” common areas, a ” high-performance” fitness facility including a 75-foot lap pool and full-time concierge service.
“We are delighted to partner with Hines and Goldman Sachs on this landmark project. We have long admired MoMA’s contribution to the city and the world, and we are pleased that this project will expand their galleries and enhance the visitor experience,” commented Kwee Liong Tek, director of Pontiac Land Group and international art collector.
Hines chairman Gerald D. Hines commented, “Jean Nouvel’s exciting tower will surely become an international design icon, as well as a favorite of New Yorkers. The location deserved a significant piece of skyline sculpture, and this project will deliver. Also, we think it will be a great investment for Hines and our partners, as well as for future homeowners. Pontiac Land is known for superior developments, and we are so happy to partner with them on their inaugural U.S. investment.”
“Pontiac Land’s longstanding partnerships with our local banks have enabled us to participate in this important deal. We are confident in the recovery of the U.S. economy, the largest in the world, and believe in the resilience and potential of the New York property market. The U.S. will continue to be an investment destination of choice for us, so it was important for our first investment to be stellar,” said Michael Su, CEO of Pontiac Land Group.
“The building’s one-of-a-kind architecture and its privileged proximity to MoMA will make this development an extremely desirable address,” said Tommy Craig, Hines senior managing director and head of the firm’s New York office.
Glenn D. Lowry, MoMA’s director, commented “The Museum of Modern Art is pleased to see the tower project moving ahead, and we look forward to working with the Hines team and the museum’s own architects to create new and engaging public spaces in which our visitors will explore modern and contemporary art.”