Max Capital acquires $744m portfolio.Max Capital Management Corp., one of the nation's largest owners and operators of commercial real estate, signed a binding contract to acquire a $744 million portfolio of office buildings totaling 5 million SF of premiere space in Midtown mid·town
A central portion of a city, between uptown and downtown.
US & Canad the centre of a town Manhattan, Chicago and Detroit. The transaction, which is scheduled to close on Oct. 1 would be one of the largest commercial real estate acquisitions this year.
Max Capital's chairman, Adam Hochfelder, and president Anthony Westreich made the announcement today, just weeks after pledging to grow the company's existing 7 million-SF portfolio with acquisitions in important CBDs across the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. .
Included in the portfolio, which will be acquired from Credit Suisse First Boston Credit Suisse First Boston was originally the trading name of the Financière Crédit Suisse-First Boston, a London-based 50-50 investment banking joint venture formed in 1978 between the First Boston Corporation and Credit Suisse. , is the remaining 50% stake in 350 Madison Ave. and 1440 Broadway, which Max Capital had owned in partnership with the investment bank. Outside New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , the portfolio includes outstanding trophy properties such as One N. LaSalle in Chicago, a 49-story landmark office tower, and 150 West Jefferson West Jefferson is the name of three communities in the United States of America:
Hochfelder said, "This acquisition is a perfect fit for Max Capital and illustrates our ability to quickly capitalize on Cap´i`tal`ize on`
v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. prime acquisition opportunities."
Max Capital invested more than $50 million in capital upgrades and leasing to execute its strategy for improving 1440 Broadway since it acquired the property in partnership with Credit Suisse First Boston in 1998. Max Capital also recently completed the $55 million redevelopment of 350 Madison Ave., the 25-story, Class-A office tower, including the transformation of the asset from singletenant use (Conde Nast Publications) to multi-tenant occupancy (92% leased).
"We will continue to seek outstanding assets in key cities throughout the U.S. by identifying opportunities, closing and seeing through the ultimate enhancement of the properties," said Hochfelder.
Westreich said, "We are thrilled to fortify for·ti·fy
v. for·ti·fied, for·ti·fy·ing, for·ti·fies
To make strong, as:
a. To strengthen and secure (a position) with fortifications.
b. To reinforce by adding material. Max Capital's portfolio with such important properties, and have the opportunity to put our hands-on property and asset management skills to work at maintaining their excellence," he added. "We are also pleased that we will take sole ownership of 350 Madison and 1440 Broadway."
In addition to the stake in the two Manhattan office buildings and noted trophy buildings One N. LaSalle (490,500 SF) and 150 West Jefferson Drive (492,527 SF), the portfolio also includes: One North Dearbom (17-story Class B office building consisting of 923,454 SF) in between Chicago's Financial District and Michigan Avenue; 360 N. Michigan, a Class A office building that is 95% rented (260,822 SF.) in Chicago; First National Building (25-story Class B office building consisting of 751,317 SF) in Detroit; and Penobscot Building
The Penobscot Building is a skyscraper in downtown Detroit, Michigan. (a three-building Class B office complex consisting of 930,858 SF) which was awarded the "Detroit Area Art Deco art deco (ärt dĕkō`; är dākō`, ärt) or art moderne (är môdĕrn`, ärt) Society Award."