Tishman Speyer Inks Ground Lease Agreement for the Chrysler Building

Tishman Speyer and The Cooper Union for the Advancement of Science and Art said Wednesday they have finalized a ground lease agreement for the Chrysler Building. As the holder of a 150-year ground lease, including an investment of $235 million and ground lease payments to Cooper Union, Tishman Speyer will restore the landmark 77-story Grand Central office tower located at 405 Lexington Ave.

Tishman Speyer is joined in the transaction by multiple global institutional investors, with the Public Sector Pension Investment Board as a lead investor. The company plans a comprehensive building improvement and hospitality program for the 1.3-million-square-foot tower.

“We are pursuing an ambitious plan for the Chrysler Building at a historically strong moment for the Manhattan office market,” said Tishman Speyer CEO Rob Speyer. “We are thrilled to lead this beloved building’s next chapter. Just as we have done through new developments like The Spiral and our continuous reinvention of Rockefeller Center, we will create an environment that will make our customers proud and excited to work here every day.”

Cooper Union was advised by Steve Klein, partner, Gibson Dunn and David Heller, vice chairman, Capital Markets Group, Savills North America.

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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