Tishman Speyer, Cogswell Sell Manhattan Office Tower for $223M
- Sep 07, 2018
The office tower at 183 Madison Ave. in Manhattan has come under new ownership, courtesy of a $222.5 million transaction orchestrated by CBRE. The commercial real estate services firm represented property owners Tishman Speyer and Cogswell Lee Development in the sale of the approximately 270,000-square-foot building to APF Properties.
Also known as the Madison-Belmont Building, 183 Madison sits on a corner lot in the Midtown South submarket, home to many TAMI office users. The asset commanded its share of attention from the investment community. “There was significant interest from multiple investors, primarily other experienced operators in New York City,” Ryan Spector, a member of CBRE’s Capital Markets Group team, told Commercial Property Executive. “Attractive features are the location, the building’s excellent bones and the great job Tishman did with the building systems.”
183 Madison made its debut in 1925 as the home of the Merchants & Manufacturers Exchange of New York. The Warren Wetmore-designed Art Deco-style property last changed hands in 2014 in a $185 million transaction, and today it’s home to a multi-business tenant roster that includes fashion company Dreamwear, architecture firm Spector Group and furniture retailer Domus Design Center. 183 Madison also features 20,000 square feet of retail offerings spanning three floors.
Spector was joined on the sale transaction by Darcy Stacom, head of CBRE’s New York City Capital Markets Group.
Manhattan market magnetism
Manhattan office assets remain a major draw for buyers. “It’s an extremely strong office investment sales market right now, with significant demand from a number of different capital sources,” Spector said.
Recent trades include Blackstone’s sale of the 683,000-square-foot 5 Bryant Park, which fetched $640 million, as well as Columbia Property Trust’s disposition of 222 E. 41st St., a 390,000-square-foot property that sold for $333 million. One Broadway, featuring 219,300 square feet, came under new ownership in a $140 million transaction.
Images courtesy of Yardi Matrix