ZCZC
BCN-21
US-UAE-HOUSING-BUILDING-CHRYSLER
New York’s iconic Chrysler Building to sell for $150 mn: report
NEW YORK, March 10, 2019 (BSS/AFP) – The owners of the Chrysler Building have
reached a deal to sell the iconic New York City building for “a little more
than $150 million,” The Wall Street Journal reported Saturday.
The sale price of the tower in midtown Manhattan, considered an Art Deco
masterpiece, marks a significant loss for Emirati investment firm Mubadala,
which paid $800 million for a 90 percent stake in 2008.
Real estate group Tishman Speyer, which had bought the building outright
for a reported $210-250 million in 1997, retained a 10 percent stake.
The Journal reported that the building’s owners do not own the ground
beneath it and pay annual rent that went up from $7.75 million to $32 million
in 2018 and was set to increase again to $41 million in 2028.
Citing brokers, the newspaper said those fees “have eaten away at much if
not all of the building’s revenue.”
The building also has some 400,000 square feet (37,160 square meters) of
space that is either vacant or will become so in the coming years, the
Journal said.
The Chrysler Building, which opened in 1930, stands 1,046 feet (319 meters)
tall. It was the world’s tallest building, but only for 11 months, after
which it was dethroned by the Empire State Building, also in Manhattan.
The building was a personal project for Walter Chrysler, the founder of the
car manufacturer that bears his name, but remained separate from the auto
business.
BSS/AFP/SR/1830 HRS