Dermot Company and PGGM, a Dutch pension fund service provider, have jointly acquired 20 Exchange Place. This luxurious apartment building is located in the Financial District of Lower Manhattan and consists of 767 units spread over 57 stories. The purchase price for this property was reported to be $370 million. This marks the seventh asset that Dermot has purchased in collaboration with PGGM.
Originally built as the headquarters for City Bank-Farmers Trust (a predecessor of Citigroup), 20 Exchange was recently bought from a partnership led by DTH Capital through an off-market transaction. According to Andrew Levison, partner and COO at Dermot, this opportunity came about due to their existing relationship.
Levison stated that they were able to acquire this iconic property at an attractive cost which is significantly lower than its replacement value. He also mentioned that DTH had successfully converted it from an office space into multifamily housing nearly two decades ago.
As the conversion took place some time ago, Levison noted that certain upgrades are necessary in order for the building to remain competitive with newer conversions entering the market. However, he expressed excitement about implementing their exclusive management and amenity program for residents at 20 Exchange Place.
