Two Park Avenue Office Towers Change Hands in End-of-2024 Deals

Two Park Avenue office properties changed hands just before the end-of-year holidays. Munich Re acquired full ownership of 320 Park Ave. from Mutual of America, and Morgan Stanley traded 2 Park Ave. to Haddad Brands.

Financial terms of the two sales were not disclosed. However, the New York Post reported that market sources estimated an outlay of $500 million to $525 million for Munich Re to increase its ownership stake in 320 Park. In 2021, asset manager MEAG secured a 25% stake in the Plaza District Class A office tower on behalf of Munich Re in a joint venture with Mutual of America.

A JLL cross-platform team of vice chairmen Frank Doyle and David Kleiner and senior managing director David Giancola arranged the majority interest sale to Munich Re in an off-market transaction. Munich Re was advised by MEAG. Mutual of America was advised by David Drewes of Willkie Farr & Gallagher LLP.

“320 Park Ave. is a prime example of the standout Class A office properties that are over performing in the current market,” said Doyle. “This property offers a superior location, premier amenities, and best-in-class ownership, making it highly attractive to top tenants.”

The Post reported that Haddad Brands paid $360 million for 2 Park Ave., where the apparel company will occupy a significant portion for its own use. Although the deal was among the largest Manhattan office trades in 2024, the sale price reportedly represents a discount on the $519 million Morgan Stanley paid for the tower in 2007.

A Newmark team of Adam Spies, Adam Doneger, Doug Harmon, Willis Robbins, Joshua King and Marcella Fasulo represented Morgan Stanley. Fried Frank partners Jonathan Mechanic and Nathaniel Lifschitz and associate Pia Levin advised Haddad Brands.

Pictured: 320 Park Ave.