The bank will maintain its North American headquarters in the 47-story Downtown facility after the sale completes. The firm has signed a 15-year lease for the space.

Deutsche Bank purchased the 1.6-million-sf building for $610 million, or $373 per sf, at the end of 2001, according to past reports. Just months after 9/11, the German firm defied the trend that had firms fleeing the area by taking such a large presence Downtown.

According to a release on the sale Deutsche Bank Securities Inc. advised the bank. CB Richard Ellis' Bob Alexander, David Maurer-Hollaender and Doug Lehman represented the bank. They declined to comment on the deal to GlobeSt.com. Paramount is receiving financing from the Commercial Real Estate Group of Deutsche Bank.

Grubb & Ellis' Joe Harkins, who specializes in the downtown area, tells GlobeSt.com, "It's a spectacular purchase and probably a bellwether of more to come."

The sale price of 60 Wall St. is about $600 million shy of the sale of 666 Fifth Ave., also a 1.6-million-sf building. 666 Fifth Ave., which was purchased by the Kushner Cos. for $1.8 billion, is located in the hot Midtown market where vacancy is less than 5%. Paramount is buying into a slightly less-desirable part of the city, where vacancy is about 7%, according to recent CBRE statistics, and where a number of companies are wary to locate due to the heavy construction cycle currently underway.

"The price is reflective of the blue-chip property in a gang-buster market and a bright future." Harkins says Paramount is an experienced property owner and very knowledgeable about the Downtown market, having previously owned several assets there including 45 Broadway. The firm also currently owns such properties as Financial Square, 745 Fifth Ave., 1633 Broadway and 1325 Avenue of the Americas.

Instant Insights /

60 Wall St. Sells for $1.2B to Paramount Group

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