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Monday, 03 February 2003

CalPERS JV to Buy Stake in NYC's $1.7Bln AOL Time Warner Project

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February 4, 2003

MacFarlane Partners, a San Francisco-based real estate investment management firm, yesterday confirmed local reports in New York that it is teaming with the California Public Employees' Retirement System to buy a key stake in the AOL Time Warner Center, a 2.8 million-square-foot complex under construction on Columbus Circle in Manhattan.

The CalPERS/MacFarlane joint venture has agreed to purchase 49.5 percent of the retail space as well as office space not occupied by AOL Time Warner and the center's parking structure from Apollo Real Estate Advisors and The Related Cos.

The purchase price will not be set until Jan. 31, 2005, when the transaction is complete, but MacFarlane places the value between $425 million and $500 million.

Apollo and Related will retain ownership of the remaining portion of the property, which is scheduled to open in the fall.

The deal includes AOL Time Warner Center's 347,000-sf retail venue, which is called The Shops at Columbus Circle and which is about 90 percent committed by such tenants as Hugo Boss, J. Crew, Cole Haan, A/X Armani, Stuart Weitzman, and LVMH's Sephora and Thomas Pink. The deal also includes 211,000 sf of Class-A office space, to be called 60 Columbus Circle, and a 404-space parking garage in three below-grade levels.

The deal does not include the 879,000 sf of office space to be acquired by AOL Time Warner for its new world headquarters, Jazz at Lincoln Center, the Mandarin Hotel and 191 residential condominiums.

The CalPERS/ MacFarlane venture is acquiring a $359 million participating interest in the project's $1.22 billion construction loan, which was provided by GMAC Commercial Mortgage. The entire commercial mortgage loan on the project totals $1.42 billion.

MacFarlane Partners is also investing in a fund that will own and operate two of the restaurants – by chefs Thomas Keller and Jean-George Vongerichten – and an upscale lounge bar in the center owned by Rande Gerber.


Comments? E-mail Susanna Potter, or call her at (267) 247-0112, Ext. 212.


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Additional Info

  • Syndicate to Realpoint: No
  • Cities: New York City
  • States: New York
  • Sector: Office, Retail
  • Subject: Institutional Investment (INS), Joint ventures (JV), Property Acquisitions (ACQ)
  • Company: Camden Property Trust
  • Valuation: More than $150 million
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

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