Brookfield Asset Management has acquired a 100 percent leasehold interest in 666 Fifth Avenue’s office condo, a 1.5 million-square-foot, 40-story building in Midtown Manhattan, through one of its real estate investment funds.
The seller was the Kushner Cos., which acquired the office in 2006 for $1.8 billion.
Financial terms of the transaction were not disclosed; however, New York Post reports the sale will enable the Kushner Cos. to pay off the remaining debt of $1.1 billion and buy out its 49.5 percent partner, Vornado Realty Trust, for a previously agreed $120 million.
Brookfield Properties will operate the building and plans a major redevelopment program to upgrade it. The redevelopment is estimated to cost between $600 million and $700 million.
