DivcoWest Pays $134M For Hudson Street Building As Investment Market Starts To Move
A large office and data center building near SoHo changed hands this week as the Manhattan office investment market starts to move again.
Jamestown sold 325 Hudson St., a 200K SF building, to DivcoWest for $134M, property records show. Jamestown, the Atlanta-based developer that sold Chelsea Market to Google for more than $2B, got $24M more than it paid for the building in 2012, according to deed records.
"This building offers real optionality for a variety of users," DivcoWest Senior Director and New York Regional Head of Investments Ariel Aber said in a release. "There is tremendous interstitial space between floors, which will appeal to research use, while the large floor plates with clear window lines will also benefit life science and creative office users.”
The building can hold traditional office tenants as well as life sciences tenants and media tenants, DivcoWest stated in the release.
After purchasing the building nine years ago, Jamestown Properties and Amerimar Enterprises, co-owners at the time, developed a data center in the building, Data Center Knowledge reported. Growing coworking giant Industrious has since signed a deal to occupy 24K SF in the building. RCN, Verizon Wireless and Starry also take up space in the building.
This is the latest $50M-plus office sale recorded in the past two weeks — Texas rugmaker Amir Loloi purchased 260 Fifth Ave., an office building in Midtown South, for $53M last week.
In the first three months of the year, only four office buildings were sold in Manhattan, according to Avison Young, for a total of $88.9M, which DivcoWest surpassed in this deal alone.