Value of 222 East 41st Street in Midtown
East supported by full-building, 30-year lease to NYU Langone Medical
Center signed in 2016
NEW YORK--(BUSINESS WIRE)--
Columbia
Property Trust, Inc. (NYSE: CXP) announced today that it has
completed the sale of 222 East 41st Street in Midtown
Manhattan to Commerz Real, real assets investment manager of German
Commerzbank, for a gross sales price of $332.5 million.
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Columbia Property Trust has completed the sale of Manhattan office tower 222 East 41st Street, which is fully leased to NYU Langone for 30 years, to Commerz Real for $332.5 million. (Photo: Frank Zimmerman)
The 390,000-square-foot Midtown East tower had been essentially fully
occupied by one tenant since 2007, in a lease that was set to expire in
2016. Upon learning that the tenant would be vacating, Columbia launched
a proactive and wide-ranging marketing campaign, which culminated in an
innovative, 30-year lease to NYU Langone Medical Center for the entire
building, with almost no downtime in occupancy.
Originally constructed in 2001, the 25-story office tower has been
converted by NYU Langone over the past two years into a multispecialty
ambulatory care facility that began accepting patients last month.
“We were very pleased to secure an esteemed tenant on a long-term lease,
which significantly increased the value of the property,” said Nelson
Mills, president and chief executive officer of Columbia. “Proceeds will
further strengthen our balance sheet in the near term and will
eventually be recycled into higher growth investment opportunities.”
CBRE’s Capital Markets team, including Darcy Stacom and Bill Shanahan,
represented Columbia in the marketing effort and transaction.
About Columbia Property Trust
Columbia Property Trust (NYSE: CXP) owns and operates Class-A office
buildings concentrated in New York, San Francisco, and Washington, D.C.
Its portfolio includes 19 properties with approximately nine million
square feet. Columbia carries an investment-grade rating from both
Moody’s and Standard & Poor’s. For more information, please visit www.columbia.reit.
Forward-Looking Statements:
Certain statements contained in this press release other than
historical facts may be considered forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934. We intend for all such
forward-looking statements to be covered by the applicable safe harbor
provisions for forward-looking statements contained in those acts. Such
statements include, in particular, statements about our share repurchase
program and are subject to certain risks and uncertainties, including
known and unknown risks, which could cause actual results to differ
materially from those projected or anticipated. Therefore, such
statements are not intended to be a guarantee of our performance in
future periods. Such forward-looking statements can generally be
identified by our use of forward-looking terminology such as “may,”
“will,” “expect,” “intend,” “anticipate,” “estimate,” “believe,”
“continue,” or other similar words. Readers are cautioned not to place
undue reliance on these forward-looking statements, which speak only as
of the date of this press release. We make no representations or
warranties (express or implied) about the accuracy of any such
forward-looking statements contained in this press release, and we do
not intend to publicly update or revise any forward-looking statements,
whether as a result of new information, future events, or otherwise.
Any such forward-looking statements are subject to risks,
uncertainties, and other factors and are based on a number of
assumptions involving judgments with respect to, among other things,
future economic, competitive, and market conditions, all of which are
difficult or impossible to predict accurately. To the extent that our
assumptions differ from actual conditions, our ability to accurately
anticipate results expressed in such forward-looking statements,
including our ability to generate positive cash flow from operations,
make distributions to stockholders, and maintain the value of our real
estate properties, may be significantly hindered. See Item 1A in the
Company's most recently filed Annual Report on Form 10-K for the year
ended December 31, 2017, for a discussion of some of the risks and
uncertainties that could cause actual results to differ materially from
those presented in our forward-looking statements. The risk factors
described in our Annual Report are not the only ones we face, but do
represent those risks and uncertainties that we believe are material to
us. Additional risks and uncertainties not currently known to us or that
we currently deem immaterial may also harm our business.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180529006221/en/
Columbia Property Trust
Media:
Bud Perrone,
212-843-8068
bperrone@rubenstein.com
or
Investor
Relations:
Matt Stover, 404-465-2227
IR@columbia.reit
Source: Columbia Property Trust