February 12, 2016
California Public Employees’ Retirement System (CalPERS) has reportedly acquired a 50-story building in New York for $1.9-billion, in partnership with Los Angeles-based CommonWealth Partners. The Sacramento-based pension fund is purchasing a nearly 100-percent leased, midtown Manhattan building at 787 Seventh Ave.
CalPERS says the acquisition “follows our real estate strategic plan to invest in core, income-generating properties.” The 1.7-million square-foot property, located next to Times Square and Rockefeller Center, was sold by French insurance conglomerate AXA Financial.
Neither CalPERS nor AXA would confirm the $1.9 billion sale price, but if accurate, it represents one of the priciest real estate investments CalPERS has ever made, and one of the largest deals in New York history.