Tishman Speyer Moves to Sell Another Office Property
While one prominent office development goes up around Grand Central Terminal, Tishman Speyer is preparing to sell another.
Rob Speyer is marketing the fee simple interest in 6 Grand Central, formerly known as 666 Third Avenue, for an asking price around $450 million, the Commercial Observer reported. That would break down to about $584 per square foot for the 770,000-square-foot office building.
Tishman declined to comment on the offering. Eastdil Secured’s Gary Phillips and Will Silverman are leading marketing efforts.
The property at the corner of Third Avenue and East 42nd Street directly connects to Grand Central Terminal, one of the few postwar buildings to do so. Tishman acquired the property in 1998.
It last tried to sell the Class A office tower back in 2019, but didn’t make a deal. Three years later, it renovated the property and refinanced the debt with a $185 million loan from Bank of America, replacing a 2012 loan of $265 million from Morgan Stanley Mortgage Capital.
Tenants at the building include investment manager VanEck, the Consulate General of the Netherlands, law firm Mintz Levin and health care logistics firm Strata Critical. There’s also Studio Grand Central, which offers coworking spaces, private offices and meeting rooms.
The listing may be part of a broader strategy for Tishman, particularly on the heels of another sale this year.
In February, Delshah Capital and A.M. Property Holding Corporation entered into contract to buy the CitySpire office tower in the Plaza District from Tishman Speyer and GIC.
The 70-story, 377,000-square-foot, 98 percent leased office building at 156 West 56th Street was being sold for $135.7 million, equating to $360 per square foot.
It’s an interesting moment to try and sell office space by Grand Central Terminal, considering what may soon be coming to the submarket: BXP recently secured a $1.2 billion construction loan led by Wells Fargo for a 930,000-square-foot office development at 343 Madison Avenue, which is slated to open in 2029.
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