Carlyle, ClearRock Properties Acquire 920 Broadway

Reuters, 3/4/2013

By Angela Sorman

Global alternative asset manager The Carlyle Group and ClearRock Properties, a northeast regional owner and operator, have acquired 920 Broadway, a 106,000-square-foot, 17-story Flatiron District office tower on the corner of 21st street and Broadway. Financial terms of the acquisition, from Einstein College at Yeshiva University, were not disclosed.

PRESS RELEASE

Global alternative asset manager The Carlyle Group L.P. (NASDAQ: CG), and ClearRock Properties, a northeast regional owner and operator, today said they have acquired 920 Broadway, a 106,000-square-foot, 17-story Flatiron District office tower on the corner of 21st street and Broadway. Financial terms of the acquisition, from Einstein College at Yeshiva University, were not disclosed.

The new owners plan significant improvements to the property. More than $10 million will be invested to create a new lobby, elevators, HVAC, restrooms, windows, security system and energy conservation technology. In addition, the owners will upgrade the standard of service to meet the growing demand for high quality office space in Midtown South.

Steve Grant, Managing Principal with ClearRock Properties, said, “We are delighted to expand our partnership with Carlyle. 920 Broadway will be attractive to Midtown South’s increasingly diverse array of technology, media, financial and other boutique tenants.”

Andrew Chung, Carlyle Managing Director, said, “We are proud to acquire such a high quality asset in a market with the lowest vacancy rate in New York. Our plan is to reposition the building to a Class A Midtown South office building.

To help complete the property’s transformation, a highly experienced team has been assembled. Dan Shannon, of Moed de Armas & Shannon, has already begun crafting the vision for a new lobby, elevators and entry. In conjunction, Scott Spector, of The Spector Group, will help create a flexible, modern design for new tenant spaces.

In addition, Jones Lang LaSalle’s vice chairman Mitch Konsker will oversee the property’s leasing along with JLL’s managing director Matt Duthie overseeing property management.

Constructed in 1916, 920 Broadway, located at the southeast corner of East 21st street, was designed by Schwartz & Gross and offers floor plates of 6,400 square feet.