US-based investment firms Monday Properties and Invesco have completed the sale of Helmsley Building in New York City, US, to RXR Reality for $1.2bn.
Equipped with 1.4 million ft² of office space, the building offers working spaces for Swiss Re, Voya Financial, Clarion Partners and Reed Elsevier and others, reports Reuters.
Located near the Grand Central Terminal in the city, the building stands at 34-storeys high and is currently 94% occupied.
It has served as the headquarters of the New York Central Railroad since its inauguration in 1929.
Monday Properties chairman and chief executive Anthony Westreich was quoted by the news agency as saying: “It’s the last of our New York City office buildings.
“It’s not to say that we’re not going to be back in New York.
“We just think it’s good time to be a seller in today’s market.”
Since 1998, the building has been managed by Monday Properties. In 2011, Invesco formed a joint venture to acquire it under a $740m deal.
Goldman Sachs and partners have also invested nearly $1.15bn for the property in 2007.
RXR Reality’s acquisition marks the exit of Monday Properties from the office building market in New York. According to Westreich, steep real estate prices are likely to have influenced the decision.
Monday Properties spent around $200m for renovation works of the building since 2002, and $12bn in transaction over the last ten years.