NEW YORK CITY—ParamountGroup has completed the sale of a 10% interest in 1633 Broadway, a2.5 million square foot trophy office building located on Broadwaybetween 50th and 51st streets in Manhattan. The transaction valuedthe property at $2.4 billion, or approximately $960 per squarefoot.
Last month the REITannounced it was seeking to enter into a joint ventureagreement to sell the stake. In November 2019,Paramount completed a $1.25 billion interest-only refinancing ofthe property at a fixed rate of 2.99%, realizing $179 million ofnet proceeds.
With this latest transaction,Paramount anticipates net proceeds of approximately $114 million, which will get funneled for general corporatepurposes.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
