NEW YORK--(BUSINESS WIRE)--Allianz Real Estate today announced that it has acquired a 44 percent stake in 10 Hudson Yards, the first tower completed in Related Companies and Oxford Properties Group’s mixed-use Hudson Yards development on Manhattan’s west side. A limited partnership that includes Allianz, Related Companies, Oxford Properties Group and institutional investors advised by J.P. Morgan Asset Management, now owns the property.
“Our significant investment of approximately $420 million exemplifies Allianz Real Estate’s strategy to increase its exposure to the 24/7 global cities,” said Francois Trausch, chief executive officer of Allianz Real Estate worldwide.
“This opportunity reflects the goal of our U.S. team to pursue high-quality, long-term investments with best-in-class partners,” said Christoph Donner, chief executive officer, Allianz Real Estate of America. “But the attractiveness of this investment goes beyond the financial dimension – being part of an exciting new neighborhood is a source of great pride.”
Hudson Yards is transforming Manhattan’s west side and creating an entirely new, vibrant neighborhood. It is the largest development in New York City since Rockefeller Center was built in the 1930s and is the largest private real estate development in U.S. history. The site is a planned mixed-use neighborhood featuring more than 17 million square feet of commercial and residential space, more than 100 shops, a collection of restaurants, approximately 4,000 residences, a unique cultural space, 14 acres of public open space and a 750-seat public school. It is anticipated that more than 24 million people will visit the area every year.
Jeff T. Blau, chief executive officer of Related Companies, said, “We are thrilled to partner with Allianz on 10 Hudson Yards. The tower has been an unqualified success attracting a diverse set of marquee tenants and has been widely recognized as one of the best office locations in New York City. Allianz is one of the world’s most respected real estate investors and its commitment further evidences the value we have created through our focus on best-in-class architecture and planning and meticulous execution.”
10 Hudson Yards is 94 percent leased with a weighted average lease term of nearly 17 years. The property includes an impressive tenant roster including Coach, Inc., L’Oreal USA, SAP and Boston Consulting Group. In total, 74 percent of the leases are to investment-grade tenants.
About Related Companies
Related Companies is the most prominent privately owned real estate firm in the United States. Formed over 40 years ago, Related is a fully integrated, highly diversified industry leader with experience in virtually every aspect of development, acquisitions, management, finance, marketing and sales. Headquartered in New York City, Related has offices and major developments in Boston, Chicago, Los Angeles, San Francisco, South Florida, Washington, D.C., Abu Dhabi, London, São Paulo and Shanghai and boasts a team of approximately 3,000 professionals. The Company’s existing portfolio of real estate assets, valued at over $30 billion, is made up of best-in-class mixed-use, residential, retail, office and affordable properties in premier high-barrier-to-entry markets. Related has developed preeminent mixed-use projects such as Time Warner Center in New York and CityPlace in West Palm Beach. Related also manages approximately $3 billion of equity capital on behalf of sovereign wealth funds, public pension plans, multi-managers, endowments and family offices. For more information about Related Companies please visit www.related.com.
About Allianz Real Estate of America LLC
Allianz Real Estate of America is responsible for equity and commercial mortgage loan investments in the Americas. Allianz Real Estate of America, based in New York, has a portfolio of over $13 billion with its holdings diversified across more than 30 metro markets and property types spanning office, multi-family, retail, and industrial.
About Allianz Real Estate
Allianz Real Estate is the strategic centre of expertise in real estate within the Allianz Group and a leading international real estate investment and asset manager. Allianz Real Estate develops and executes worldwide tailored portfolio and investment strategies on behalf of the Allianz companies, considering direct as well as indirect investments and real estate loans. The operational management of investments and assets is currently performed in six international subsidiaries and hubs in Germany, France, Switzerland, Italy, USA and Asia/Pacific. The headquarters of Allianz Real Estate are located in Munich and Paris. Allianz Real Estate has approximately €42 bn assets under management.
