Property value is consistently on the rise when it comes to the Empire City, and with a new owner of 1 Chase Manhattan Plaza currently set in place, the 2.2 million-square-foot Lower Manhattan office tower which is presently owned by JPMorgan Chase, is likely to be chosen as early as this week, as reported by The Real Deal. With this latest venture, JPMorgan could rack in approximately $700 million for the property, which sits on a 2.5-acre parcel bounded by Nassau, Liberty, and William and Pine streets. The first round of bids was closed just last month on September 30th, and supposedly started with a minimum price set at nearly $660 million.
Bidders on the 60-story landmarked tower run the gamut from New York developers such as Scott Rechler to Asian investors, and have put forward several ideas including converting the building to condominiums or hotels, or retaining it as an office property. Market observers told the Times that were the building to be converted into high-end residential or hotel use, it would symbolize that the Financial District was losing some of its cachet.
“Today, it’s a struggle to sustain office buildings in the face of the unrelenting demand for residential properties,” Eric Deutsch, a former president of local advocacy group the Downtown Alliance, told the newspaper.
The property is being marketed by CBRE’s Darcy Stacom and William Shanahan. The duo presented bidders – which include Rechler, Joseph Chetrit and David Bistricer, Tishman Speyer and Boston Properties – with a prospectus suggesting that the tower is “perfect for both a new introduction as one of downtown’s best office buildings or [as] one of its most prestigious residential addresses,” according to the NY Times.
Source: The Real Deal New York