NEW YORK — SL Green Realty Corp. (NYSE: SLG) has entered into a definitive agreement to acquire a 90 percent interest in The SoHo Building, an office and retail property in Manhattan, for approximately $230 million. The investment stake is based on the property’s gross asset valuation of $255 million.
Located at 110 Greene St., the 13-story SoHo Building is one of the tallest buildings in the SoHo historic district. Retail space at the building, situated along Greene and Mercer streets, offers tenants high visibility on two of the strongest performing retail streets in Manhattan.
The seller is a joint venture controlled by the family of the late real estate entrepreneur Tony Goldman.
“This transaction presents SL Green with a unique opportunity to acquire and further enhance the property into one of the most compelling multi-use assets in downtown New York,” says SL Green Managing Director Brett Herschenfeld. “The property is truly fitting of its iconic name.”
SL Green plans to complete improvements to the property as it reintroduces it to the marketplace.
The transaction is expected to close in the third quarter, subject to customary closing conditions.
The purchase increases SL Green’s office footprint in SoHo. SL Green’s retail presence in the district currently includes 102 Greene Street, 121 Greene Street, 115 Spring Street, 131-137 Spring Street and 530-536 Broadway.
SL Green maintains other Manhattan retail investment interests in areas such as Midtown’s Fifth Avenue Gold Coast, Upper Madison Avenue and Times Square.
SL Green focuses primarily on acquiring, managing and maximizing value of Manhattan commercial properties.
SLG’s stock price closed at $114.67 per share on Monday, July 20, up from $110.61 a year ago.
— Scott Reid