RXR Realty LLC announced it has sold 49 percent interest in the Financial District building 61 Broadway to an affiliate of China Orient Asset Management.
The purchase price was based on a gross valuation of $440 million for the 33-story, 787,000 s/f office building.
“We are thrilled to have China Orient join us as our new partner and are pleased that we were able to create meaningful value by upgrading 61 Broadway and executing more than 100,000 square feet of leases at extremely attractive rents,” said RXR chairman and CEO Scott Rechler.
“We look forward to executing the next level of value creation as we recapture space and release it at higher rents to the dynamic 21st century tenants that 61 Broadway is now attracting.”
Roy Chen, managing director and Head of U.S. Real Estate of China Orient, said, “RXR is one of the best-in-class owners and operators of Manhattan office buildings and we are pleased to acquire an interest in 61 Broadway and partner with them.
“This investment is consistent with our U.S. real estate investment strategy, which has been to acquire value add assets in partnership with sophisticated and institutional U.S. operators.,”
The property, located at Broadway and Exchange Place, offers tenants a renovated lobby, high ceilings and quick access to several transit lines connecting to the workforce living in Brooklyn, the rest of Manhattan, Northern New Jersey and the rest of the region.
Tenants include architectural firm Bjarke Ingels Group and securities firm Samuel A. Ramirez & Co. Recently signed tenants include innovation think tank, Human Condition Global, which took a full floor of more than 24,400 s/f, and data governance company Collibra Inc., which took more than 12,000 s/f.
In October, 1999, following the approval of the People’s Bank of China, China Orient was established in Beijing in response to the Asian financial crisis.
With a registered capital of RMB 10 billion which was fully allocated by the Ministry of Finance, China Orient is a solely state-owned diversified financial institution with subsidiaries in, among others, asset management, insurance, securities and banking businesses.
At present, the total assets of China Orient have reached about $35 billion.