RXR Realty, one of the largest office building owners in New York City, has disclosed that it is preparing to halt debt payments on several older Manhattan office properties and "give the keys back to the bank."
After what the company described as an "exhaustive" review of its office portfolio, RXR has concluded that an unspecified number of these assets no longer make economic sense in a post-pandemic office market driven by a flight to quality in new Class A buildings, according to a report in Financial Times.
"With some of those [office properties], I don't think there's anything we can do with them," RXR CEO Scott Rechler told FT.
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