Pacolet Milliken Announces Finance Closing on 7 Bryant Park in New York City
Pacolet Milliken Enterprises, Inc. and joint venture partner Hines today announced the closing on an all-equity joint venture investment from institutional clients advised by J.P. Morgan Asset Management for 7 Bryant Park, the iconic new trophy-class office tower that will overlook Bryant Park in New York City. Designed by renowned architect Henry N. Cobb of Pei Cobb Freed & Partners, the 28-story, 470,000-rentable-square-foot tower will be built on property that Pacolet Milliken has owned since 1954, a key parcel on Avenue of the Americas with full-block frontage at the southwest corner of the park. The arrangement of equity financing allows Hines to move forward with construction to begin in the fourth quarter of this year, with first occupancy planned for the fourth quarter of 2014.
Pacolet Milliken President Richard C. Webel said, “We are pleased by the confidence placed in this project by J.P. Morgan to provide the capital to move forward with building construction. I know Roger Milliken, who was committed to sustainability in the built and natural environments, would be thrilled to see this new landmark come to fruition on this legacy location.”
“This well-conceived project has all of the key ingredients we look for, including an experienced developer and operator with a proven track record in Hines, a respected and responsible partner in Pacolet Milliken, and a compelling and attractive location at the doorstep of New York’s Bryant Park,” said Elizabeth Propp, head of real estate acquisitions, Northeast, for J.P. Morgan Asset Management – Global Real Assets.
7 Bryant Park has been designed for a 21st century work environment and will offer one of the most unique office opportunities in Manhattan. The state-of-the-art tower will be slated for a Leadership in Energy and Environmental Design (LEED®) Gold certification, an internationally recognized certification system developed by the U.S. Green Building Council. The orientation of the steel and glass tower will capitalize on direct views over the park and past the historic New York Public Library. The building’s entrance façade is punctuated by a concave sculptural detail which cuts into the building in an hourglass shape, distinguishing the design and creating unique feature windows on every tenant floor.
Hines Senior Managing Director Tommy Craig, head of the firm’s New York/tri-state regional activities, commented, “The successful placement of financing puts Hines at the leading edge of the development cycle, and we feel that now is a propitious time to begin procuring trade work. We are competitively selecting a general contractor, and provided we are satisfied with pricing, expect to start construction in the fall of 2012.”
The project has been designed for major tenants whose size ranges from 100,000-250,000 square feet. CBRE’s Mary Ann Tighe is leading the now-underway leasing program, expecting the building to appeal to major tenants in the technology, media, financial and professional service sectors who are looking to occupy the highest-quality space available in the market in one of the most convenient and amenitized locations in the city. For these users, 7 Bryant Park will offer a combination of efficient floor sizes arranged in contiguous space with a distinctive mix of high-end amenities spaces and infrastructure. Significant branding opportunities will also be available.
About Pacolet Milliken Enterprises, Inc.
Pacolet Milliken Enterprises, Inc. is a private, family-owned investment company founded in 2007 by Roger Milliken of Milliken & Company with the forward-looking mandate to preserve and grow its assets with a bias for quality and a multi-generational outlook. Based in Spartanburg, S.C., Pacolet Milliken’s four business units consist of energy and infrastructure; income property in world capital cities; income property in the Southeast United States; and undeveloped land and forestry. For more information, please visit www.pacoletmilliken.com.
About J.P. Morgan Asset Management
Global Real Assets has approximately $61.1 billion in assets under management and approximately 400 professionals in the U.S., Europe and Asia, as of March 31, 2012. With a 40-plus-year history of successful investing, J.P. Morgan Asset Management – Global Real Assets’ broad capabilities provide many of the world’s most sophisticated investors with a global platform of real estate, infrastructure, maritime/transport and energy strategies driven by local investment talent with disciplined investment processes consistently implemented across asset types and regions.
Hines has been active in the tri-state NY, NJ, CT market since 1981, having developed in excess of 15 million square feet in the area. In addition, Hines is an active asset and property manager of both equity and third-party assets. Hines is a privately owned real estate firm involved in real estate investment, development and property management worldwide. The firm’s historical and current portfolio of projects that are underway, completed, acquired and managed for third parties includes 1,192 properties representing more than 482 million square feet of office, residential, mixed-use, industrial, hotel, medical and sports facilities, as well as large, master-planned communities and land developments. With offices in 110 cities in 18 countries, and controlled assets valued at approximately $22.9 billion, Hines is one of the largest real estate organizations in the world. Hines is also a world leader in sustainable real estate strategies, with extensive experience in LEED®, ENERGY STAR®, BREEAM, Haute Qualité Environnementale and DGNB green building rating systems. Visit www.hines.com for more information on Hines. For more information on 7 Bryant Park, visit www.7bryantpark.com.