(Bloomberg) — Cove Property Group and Baupost Group sold Hudson Commons, a newly redeveloped office tower on the far west side of Manhattan, for $1 billion.
The buyer of the 697,958-square-foot (64,842-square-meter) building, at 441 Ninth Ave., was the Los Angeles-based real estate firm CommonWealth Partners, according to a statement Monday. The deal is among the most expensive in New York since the pandemic started.
While older properties struggle, new and refurbished office buildings in prime locations are drawing interest from investors and tenants alike, even as employers embrace hybrid work plans.
“This transaction is a bellwether for the resurgence of confidence in the office sector and validation for the value created by forward-looking, sustainable redevelopment at a trailblazing location,” Kevin Hoo, managing partner of Cove, said in the statement. “Given the aging nature of the majority of Manhattan’s office product, Hudson Commons is a model for the office of the future in this city.”
Bloomberg reported in August that CBRE Group Inc. was marketing the 25-story building for sale. The tower is 75% leased to tenants including fitness firm Peloton Interactive Inc. and ride-share company Lyft Inc.
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