CBRE Investors Acquire Macklowe Building

CB Richard Ellis Investors have purchased a majority condo interest in 1540 Broadway, previously purchased by Macklowe Properties in 2007 for $1,079 per square foot, according to a GlobeSt.com article. The firm declined to disclose financial details of the deal (though estimated at $355 million), however, in a statement it said the 905,533-square-foot deal had been bought from Macklowe Properties (owned by real estate investor Harry Macklowe) through its $2.1 billion value-added vehicle, CBRE Strategic Partners US Value 5 fund.

Macklowe bought the property for $967.6 million in February 2007 as part of a seven-office portfolio acquired from The Blackstone Group’s Equity Office Properties, but was forced to turn the tower, along with others he had purchased, over to lender Deutsche Bank after he defaulted on $7 billion in debt.

The 44-story Class A office building, which has more than one million square foot of space, is located on Times Square, and is 78 percent leased. CBRE Investors said it planned to upgrade its portion of the building.

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