In September2004, Sitt Asset Management contracted to acquire the site fromSL Green Realty for $160 million. In that transaction, Harmonserved as the exclusive broker for SL Green. At the time, Sitt saidit was considering converting the upstairs portion of the315,000-sf site to a hotel. Current tenants include retailer theGap, Kellwood, LEI-Jones NY and Quicksilver. Office space goes fora range in the 40s per sf.

Constructed in 1906 as the Knickerbocker Hotel, the 16-storyproperty was subsequently converted into office space. It islocated on the southeast corner of Broadway and 42nd Street. SLGreen originally purchased the property in March 1998 for $65.3million, and completed a capital renovation and repositioningprogram totaling approximately $14.6 million.

Investment and construction activity in the Times Square areahas been on the increase. The Durst Organization is constructingthe nearby One Bryant Park for Bank of America, while Forest CityRatner is working on a headquarters for the New York Times onEighth Avenue between 40th and 41st streets. Also, BostonProperties just acknowledged that it is in discussions to sell twocore assets here. Sources have said those sites include Five TimesSquare Tower. For additional information on that sale, click here.