New York & Tri-State CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
RXR Takes 49% Stake in News Corp. Headquarters
RXR has acquired a 49% interest in 1211 Ave. of the Americas, which serves as the headquarters of Rupert Murdoch’s News Corporation. The stake, which values the Midtown Manhattan office property at $1.2 billion, was acquired from Ivanhoé Cambridge, the global real estate group of CDPQ.
RXR and Ivanhoé Cambridge will continue the property’s repositioning by investing more than $300 million into the two-million-square-foot tower. The transformation will feature a reimagined multi-tenant lobby and a revitalized plaza.
The lease extension by FOX and News Corp. signed in 2023 secures approximately 55% of the building’s occupancy through 2042. However, the upcoming departure of a law firm in 2028 creates a rare opportunity for a “building within a building” offering: more than 600,000 square feet of contiguous premium space.
“By partnering with Ivanhoé Cambridge to transform this iconic tower into a workplace that meets the demands of today’s global companies, we’re demonstrating that well-located, high-quality office buildings can thrive in a post-pandemic world,” said Scott Rechler, chairman and CEO of RXR.
Strategic Capital Alliance and Newmark Group Inc.’s Adam Spies and Doug Harmon advised RXR on the acquisition.
- ◦Sale/Acquisition
