Investor acquires two assets in midtown Manhattan
In two separate deals, TIAA-CREF has acquired two office and retail properties in midtown Manhattan.
TIAA-CREF is the new owner of the 375,000-square-foot 21 Penn Plaza, a prime midtown Manhattan office property. The sales price was not disclosed in the official announcement; however, Real Capital Analytics estimated it to be $231 million. The sellers were Savanna Real Estate and the Feil Organization, which purchased the property in 2011 for $137.5 million.
The 17-story property is currently 98 percent leased. Retail tenants include Avon, Dunkin’ Donuts and H&R Block. Office tenants include Saks & Co., Langan Engineering and Amtrak. The TIAA Real Estate Account, a TIAA insurance separate account, will hold the property following the acquisition.
And less than a mile away at 1328 Broadway, TIAA-CREF with its joint venture partner Norges Bank Investment Management acquired the fee position in 2 Herald Square, an office building with high-