Deutsche Bank has incurred a $350 million loss on a Manhattan office building at 222 Broadway, which it purchased for $500 million in 2014 and recently sold for $150 million to a joint venture led by TPG. This transaction is part of a broader trend of distress in the commercial real estate market, particularly in office buildings. The venture, which includes TPG, Skylight Real Estate Partners, and Cannon Hill Capital Partners, also acquired a 205,000-square-foot office building at 101 Franklin St. in Manhattan for over $100 million. These properties are expected to be converted to residential use. The number of office buildings in distress has increased sharply this year, with more pain anticipated in the coming months. A New York City office building at 321 W. 44th St. is set to be sold for less than $50 million, a 67% discount from its 2018 sale price.
This will add fuel to the debate about how much of the CRE reckoning has already happened, & how much has yet to come. A NYC office building at 321 W. 44th St. is set to be sold for less than $50 million, a 67% discount from where it was sold in 2018. https://t.co/5T7oUSWTwd
Another large office building sold at a big discount in a key metropolitan area. This time NYC. 👀 https://t.co/tjSui10wG2
Times Square office building sells at 67% discount in short sale https://t.co/B4L4yWoQv2
A New York City office building owned by a Related affiliate is set to be sold at a steep discount. https://t.co/QQi1XYfcy2 via @business
Related a NYC Landlord to Sell Manhattan Office at Roughly 67% Discount #CRE #crisis
A New York City office building owned by a Related affiliate is set to be sold at a steep discount. https://t.co/QnVMet36nR
The rise of New York’s super-tall luxury buildings. https://t.co/0u3h8AeTDU
Private equity firm TPG and its partners are making moves to buy two downtown New York #office buildings at heavy discounts to what their sellers had paid and plan to convert the properties to residential use. https://t.co/Aelqq8Z5jA
"Office Building Losses Start to Pile Up, and More Pain Is Expected: The distress in commercial real estate is growing as some office buildings sell for much lower prices than just a few years ago." https://t.co/imPwlGwOY3 https://t.co/O9VWRbkiiC
📣A venture of TPG, Skylight Real Estate Partners, & Cannon Hill Capital Partners pays what is said to have been more than $100 million for the 205,000-square-foot office building at 101 Franklin St. in Manhattan. Sign up #TreppRundown👇 https://t.co/t0ZDHq6hSI
While the number of office buildings reaching critical stages of distress remains small, the figure has increased sharply this year. And investors, lawyers and bankers expect the pain to grow in the coming months. https://t.co/ruFrQSl57K
$DB takes a $350mn loss on a Manhattan office building 🏢 that likely will be converted to residential "DB paid $500mn for the tower at 222 Broadway in 2014 They just sold the building to a TPG JV for $150mn" https://t.co/g8cM6VZCJo