Olmstead Properties, together with partner Vertex, has acquired 19 W. 44th St., a repositioned office building in Midtown Manhattan totaling 302,000 square feet. The transaction involves an 18-story property located between Fifth and Sixth avenues. The seller, Savanna, was represented in the sale by Will Silverman of Eastdil Secured. The purchase price was not disclosed by the parties.
The office tower, originally constructed in 1916, has undergone a repositioning program that has modernized the historic asset. The property has been upgraded to achieve LEED Gold certification and now features flexible floorplates and updated building systems. According to the parties, the improvements have helped support a strong tenant roster at the building.
The Midtown Manhattan asset is reported to be approximately 79% leased. While individual tenants and lease terms were not disclosed, ownership notes that the existing tenant base, combined with the building’s recent capital improvements, forms a key component of the business plan for the property.
Commenting on the acquisition, Steve Marvin, executive managing director at Olmstead, said that the investment aligns with the firm’s ongoing strategy in the Manhattan office sector. Marvin stated that the purchase reflects Olmstead’s continued belief that the best-positioned Manhattan office buildings remain compelling investment opportunities. He added that, with strong tenancy already in place, recent capital improvements and a defined path to further enhancing the tenant experience, the partnership views 19 W. 44th St. as well-positioned for long-term success.
The acquisition was accompanied by new debt financing. Derby Lane Partners provided a $91,400,000 senior mortgage loan secured by the property. The article did not disclose the loan term, interest rate, or other financing terms beyond the senior position of the mortgage and its role in funding the acquisition.
The transaction underscores ongoing activity around repositioned, sustainability-focused office assets in Midtown Manhattan. With a combination of historic character, LEED Gold certification, modernized infrastructure and an established tenant base, 19 W. 44th St. will now be owned by the Olmstead and Vertex partnership, with Derby Lane Partners holding the senior mortgage and Savanna exiting its ownership position.
