Sunday, September 15, 2013

Verizon Sells Part of its Lower Manhattan Building for $274 Million

Verizon will sell 40% of its historic, 32-floor building at 140 West St. in lower Manhattan to a condominium developer for $274 million.  The deal includes  22 floors and one of the five sub-basement levels of the NYC landmark. Since the 140 West St. building contains switching and other telecommunications equipment, the sale must be approved by the New York Public Service Commission.

Magnum Real Estate Group is the buyer.

Verizon also announced plans to return its headquarters to space it owns in 1095 Ave. of the Americas in midtown Manhattan.  After the sale, approximately 600 Verizon employees will occupy the lower floors of 140 West St., maintaining Verizon's significant presence in lower Manhattan. 

"We are pleased to continue to move forward with the conversion of our building on West Street from a traditional telecommunications hub to a multipurpose building that will contribute meaningfully to the city's long-term vision for a vibrant World Trade Center neighborhood," said John M. Vazquez, Verizon senior vice president of global real estate. "We believe that with our co-owners, Magnum Real Estate Group, we will stand out in what already has become a desirable tourist and residential center for New York City."

The Verizon building, previously known as the Barclay-Vesey Building and the New York Telephone Company Building, was opened in 1927.  It served as the headquarters of New York Telephone, then NYNEX, Bell Atlantic and finally Verizon. The front of the building was damaged by the collapse of the World Trade Center on September 11, 2001.