Silverstein Properties and CalSTRS Purchase 1177 Sixth Ave
SILVERSTEIN PROPERTIES and CalSTRS PURCHASE 1177 SIXTH AVENUE FROM PARAMOUNT GROUP
Midtown Acquisition Is Third Investment by Metro Fund LLC
New York, December 20, 2007 - Silverstein Properties and its joint venture partner, the California State Teachers' Retirement System (CalSTRS), announced today that it has acquired 1177 Sixth Avenue in midtown Manhattan from Paramount Group, Inc. for more than $1 billion.
The purchase of 1177 Sixth Avenue, a 47-story, one-million-square foot office tower located between 45th and 46th Streets, marks the third investment of Metro Fund LLC, the joint venture between CalSTRS, a pension fund, and Silverstein Properties.
Last year Metro Fund bought 575 Lexington Avenue - a 35-story office tower currently undergoing lobby renovations - and 99 Church Street, which is being developed into a luxury hotel and condominium designed by Robert A.M. Stern to be completed in 2011.
"From Lexington Avenue to Downtown Manhattan and now the Rockefeller Center District, Metro Fund has allowed us to continue to expand our New York real estate portfolio," said Larry A. Silverstein, President and CEO of Silverstein Properties. "We are thrilled to close out 2007 with the addition of this building."
Eastdil Secured and Goldman, Sachs & Co. marketed the property on behalf of Paramount. CalSTRS is advised by CB Richard Ellis Investors, a wholly owned but independently operated subsidiary of CBRE.
Vic Bucchere, Managing Director and National Head of Acquisitions of CB Richard Ellis Investors, said: "As the third major New York deal by Metro Fund, the purchase of 1177 Sixth Avenue is a valuable investment in the short- and long-term."
Tenants at 1177 Sixth Avenue include Pricewaterhouse Coopers LLC, and law firms Dickstein Shapiro Movin & Oshinksy and Kramer Levin Naftalis & Frankel. Construction on the granite building - also known as the Americas Tower - started in 1989 and was completed in 1992.
