January 10, 2019
The iconic Chrysler Building, the world’s tallest building for 11 months in 1930, is up for sale. A CBRE spokesman confirms published reports that the Abu Dhabi Investment Council (ADIC) and minority owner Tishman Speyer have hired the firm to market the Art Deco tower.
ADIC acquired its 90% stake for $800 million in 2008, just before the global financial crisis. Although estimates of the property’s value vary widely, the Wall Street Journal reported that ownership may struggle to recoup ADIC’s investment.
Competition from newer office properties is one factor, the WSJ reported. Another is the fact that Manhattan’s investment sales market has cooled from its 2016 peak.
However, recent stock market turmoil could move investors back to the haven of trophy properties in gateway markets, Real Capital Analytics’ Jim Costello told the WSJ. “In Manhattan you know what you’re getting, and there’s a certain amount of safety,” he said.
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