Tishman Speyer and Dutch manager Bouwinvest Real Estate Investors have launched a separately managed account (SMA) targeting US office assets, with the New York’s Chrysler Building as its seed asset.
The vehicle, which focuses on core-plus and value-add opportunities, has acquired the 150-year ground lease for the 1.3m sqft tower alongside other institutional partners.
Tishman Speyer plans to undertake an extensive building improvement and hospitality programme at the property.
The new mandate extends an existing relationship between the two firms. Bouwinvest recently backed the first close of Tishman Speyer’s Korea Living Venture, an approximately $400m (€357m) fund targeting multifamily and accommodation properties across Seoul.
Nate Shanok, Tishman Speyer senior managing director, said: “We are pleased to expand our investing partnership with Bouwinvest through this new mandate.
“Together, we see attractive opportunities to acquire well-located office assets in markets with durable demand drivers and limited new supply, and reposition them to meet the evolving needs of today’s customers.”
Robert Wagenaar, Bouwinvest director North American investments, said: “The Chrysler Building is a fitting first investment for this mandate and shows how we invest internationally: selectively, early in the cycle and through specialist partners like Tishman Speyer.
“We now see a compelling tactical opportunity in the US office market to invest with a strong locational focus and brown-to-green angle. We built these capabilities over more than two decades for bpfBOUW, our largest client and our shareholder.
“With its continued support, we are now making our international platform available to a broader group of institutional investors looking for active access to opportunities that are difficult to reach on their own.”
To read the latest IPE Real Assets magazine click here.
