Partnership to transform 250 Church Street into a Class-A boutique
office building
NEW YORK--(BUSINESS WIRE)--
Columbia
Property Trust, Inc. (NYSE: CXP) and Normandy
Real Estate Partners LLC have entered an agreement to purchase 250
Church Street, a 235,000-square-foot,16-story office building in the
TriBeCa neighborhood of Manhattan. Price was not disclosed. The
transaction is expected to close later this year.
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Located in the heart of one of New York City’s most desirable
neighborhoods, the property occupies the Church Street frontage between
Franklin and Leonard Streets and is adjacent to the architecturally
celebrated residential tower 56 Leonard. Originally constructed in 1948,
250 Church has been occupied for the last 30 years by the City of New
York, which intends to fully vacate the property this summer. At that
time, Columbia and Normandy will commence a complete transformation of
the building into the highest caliber boutique office space in TriBeCa,
which has seen significantly less office development and redevelopment
than comparable Midtown South and Downtown submarkets.
The repositioned property is anticipated to be ready for occupancy in
2021 and will be tailored to appeal to tenants seeking bespoke space in
this walkable, amenity-rich neighborhood. The building also offers
attractive transit access, located one block from the Franklin Street
Station and within walking distance of the World Trade Center Transit
Hub.
“We’re excited to embark on another transformative redevelopment project
in Manhattan,” said Nelson Mills, chief executive officer of Columbia.
“This modern, tailored office environment should serve the TriBeCa
community well, while providing further value growth to our well-leased
Manhattan portfolio. We’re also proud to be partnering again with
Normandy, following our exciting 799 Broadway project in Midtown South,
which is already attracting strong market interest.”
“The TriBeCa submarket lacks new office developments, creating limited
supply for employers who want to be in this highly desirable area of
Manhattan,” said Gavin Evans, Partner, Normandy Real Estate Partners.
“Columbia has been a wonderful partner and we’re excited to team up
again and deliver a truly unique asset to market.”
250 Church Street will be the eighth office property in Columbia’s
Manhattan portfolio, which also includes 315 Park Avenue South, 149
Madison Avenue, 114 Fifth Avenue, 218 West 18th Street, 249
West 17th Street, and 229 West 43rd Street, in
addition to the new building under development with Normandy at 799
Broadway.
About Columbia Property Trust
Columbia Property Trust (NYSE: CXP) creates value through owning,
operating and developing Class-A office buildings in high-barrier U.S.
office markets, primarily New York, San Francisco, and Washington D.C.
Columbia is deeply experienced in transactions, asset management and
repositioning, leasing, and property management. It employs these
competencies to grow value across its high-quality, well-leased
portfolio of 19 properties that contain nine million rentable square
feet, as well as one property under development. Columbia has
investment-grade ratings from both Moody’s and Standard & Poor’s. For
more information, please visit www.columbia.reit.
About Normandy Real Estate Partners
Normandy Real Estate Partners is a leading real estate investment
management firm and operator with offices in New York City, Boston,
Washington, D.C. and New Jersey, with a track record spanning 20 years.
The firm is a vertically-integrated investment and operating platform
with broad real estate experience in areas such as acquisitions,
investment management, leasing, property management and
construction/development. Its focus is primarily on acquiring office and
mixed-use investments located in the Northeast and Mid-Atlantic CBD and
transit-oriented submarkets where the firm owns and operates one of the
largest private real estate portfolios in the region, totaling over 14
million square feet and a development pipeline of four million square
feet. Normandy’s deep local relationships, vertically-integrated
capabilities, and diversely-experienced team give it a distinct
advantage, which enables it to consistently turn under-achieving real
estate into exceptional high-yielding investments. For more information
visit www.normandyrealty.com.
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 capital
investment projects, marketing efforts, and leasing transactions and
prospects, 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 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
Columbia Property Trust’s most recently filed Annual Report on Form 10-K
for the year ended December 31, 2018, 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.
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For Columbia
Media Contact:
Bud Perrone
T
212 843 8068
E bperrone@rubenstein.com
Investor
Relations:
Matt Stover
T 404 465 2227
E IR@columbia.reit
For
Normandy Real Estate Partners
Scott Cianciulli
T
212 739 6753
E scott@theplunkettgroup.com
Source: Columbia Property Trust