Qatar Investment Authority forms JV with Brookfield for $8.6bn mixed-use project in Manhattan

29 October 2015 (Last Updated October 29th, 2015 18:30)

Qatar Investment Authority (QIA) has formed a joint venture with a Brookfield Property Partners subsidiary for the Manhattan West development project in New York City.

Qatar Investment Authority (QIA) has formed a joint venture with a Brookfield Property Partners subsidiary for the Manhattan West development project in New York City.

Under the deal, QIA will be entitled to a 44% stake in the mixed-use development, which is expected to involve an investment of $8.6bn.

Brookfield Asset Management CEO Bruce Flatt said: "Brookfield has enjoyed a long-standing, successful relationship with QIA and we are thrilled that they share our vision for this transformative project."

To be developed in the western side of the New York City borough of Manhattan, the project will lead to construction of five buildings under separate phases.

"Besides the five buildings, the project will also have a central plaza featuring retail space, public parks, restaurants and amenities."

The seven million squared foot development project is bounded by 31st and 33rd Streets and 9th and 10th Avenues.

It will comprise a 67 storey, two million squared foot office building, One Manhattan West, which construction is underway for and is expected to be complete by 2019.

The second two million squared foot development, named Two Manhattan West, will be developed at the site after the first building is leased up.

Development for the third building, which will be a 62 storey luxury residential tower, has already been initiated.

The Four Manhattan West is expected to be built as a hotel or include further residential units.

Five Manhattan West is a 1.8 million squared foot office building that is presently undergoing a $350m redevelopment programme in order to be a part of the Manhattan West campus.

As well as the five buildings, the project will also have a central plaza featuring retail space, public parks, restaurants and amenities.

Brookfield Property Group CEO Ric Clark said: "The sale of an interest in Manhattan West is consistent with our strategy of actively recycling capital by partnering with leading institutional capital providers."