The iconic office tower of 1.4 million square feet is nearly 100 years old and is reported as 46% occupied. The Beaux-Arts designed building was acquired by RXR in 2015 for $1.2 billion and recently valued by rating agency S&P at $368 million ($260/sf) less than half of the outstanding debt. The building is considered a residential conversion candidate.  

Despite anchoring Park Avenue at 46th Street and abutting Grand Central, the building has struggled with maintaining occupancy with tenants migrating to more modern buildings such as the nearby One Vanderbilt and the Hudson Yards towers.

The buyer and the price will tell us a lot about the direction of New York’s market for older office properties, even ones in AAA locations.