GGP acquires NYC building for $1.8b

General Growth Properties with its partner Jeff Sutton has acquired the Crown Building for $1.78 billion, or $4,438 per square foot, and was partially funded with $1.25 billion of secured debt.

The sellers were Slcc-Combines and Spitzer Enterprises. Eastdil represented the sellers.

The Crown Building is a 26-story retail and office property located on the southwest corner of 57th Street and 5th Avenue in the Plaza District in midtown Manhattan.

GGP and Jeff Sutton will own, redevelop, lease and manage the retail portion of the property. The retail is currently occupied by tenants such as Bulgari, Piaget, and Mikimoto and is comprised of approximately 100,000 square feet.

Vladislav Doronin’s Capital Group and Michael Shvo will own, redevelop, lease and manage the office tower from floors four through 26 and comprised of approximately 290,000 square feet. The office tower will be redeveloped into luxury residential condominiums.