Kushner Companies offloads troubled 666 Fifth Avenue flagship
The Kushner Companies has finally struck a deal to get the building that was supposed to be the centerpiece of its portfolio, but instead had weighed it down for years, off its hands.
Posted — UpdatedBrookfield Properties announced Friday afternoon that it has acquired a 100% leasehold interest in the building, a 1.5 million square foot property at 666 Fifth Avenue in Manhattan, for 99 years through one of its funds. The financial terms of the agreement were not disclosed.
The company, which has major real estate holdings around the world, said it's planning a significant redevelopment of the building.
The Kushners bought the Fifth Avenue skyscraper for $1.8 billion in 2007. It was supposed to have been the crown jewel of their real estate empire, and Jared Kushner played a prominent role in the deal.
But the property didn't bring in as much revenue as expected, making it difficult to repay loans on the building.
The building carries more than $1 billion in debt, the bulk of which comes due in February 2019.
Jared Kushner divested his equity interest in the building when he took his current role at the White House.
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