The State Teachers Retirement System of Ohio has recently listed 590 Madison Ave., a prominent office tower in Midtown Manhattan, for sale. According to Bloomberg News, the pension fund is seeking approximately $1.1 billion for the property, which spans one million square feet and is located in the Plaza District – also known as the IBM Building.
Bloomberg reports that Eastdil Secured brokers Roy March, Gary Phillips and Will Silverman are leading efforts to market 590 Madison. The tower sits on Madison Avenue between East 56th and 57th streets and is among some of New York’s most coveted assets currently up for sale since the onset of COVID-19.
Despite initial concerns about demand for office space in Manhattan during this time, Bloomberg notes that there appears to be an uptick in interest. In fact, Blackstone is reportedly discussing acquiring a stake in another prominent building at 1345 Ave. of Americas while Citadel founder Ken Griffin moves forward with plans to develop an office tower on Park Avenue.
Silverman shared with Bloomberg his thoughts on why this particular opportunity stands out: “The average hold period of real estate on the eight corners at both intersections [of]57th Street/Madison Avenue [and] Fifth Avenues/57th Street exceeds forty years – highlighting just how rare it truly is.”
