ING Clarion Partners has partnered on William Macklowe’s first real estate deal without his father, acquiring the Manhattan office property known as the Photography Building.
The New York-based investment firm said it paid $45.2 million for 636 Avenue of the Americas in partnership with the William Macklowe Company. Billy Macklowe split from his father, Harry, in June last year, taking a dozen professionals from the Macklowe Properties empire. The deal is believed to have been closed on behalf of an ING separate account client.
The two firms are planning redevelopment works to the office property, including the possible creation of a penthouse on the tower’s rooftop. According to Real Capital Analytics, two of the property’s major tenants – Sports Authority and The Corcoran Group – have leases expiring in January 2014 and 2015, respectively.
Billy Macklowe took over as chief executive officer of Macklowe Properties in 2008, after joining his father’s firm in 1993. Harry Macklowe has struggled with a spate of deals purchased at the peak of the market, seeing numerous prime office assets foreclosed on as he failed to restructure or refinance billions of dollars of debt .
In January, however, CIM Group teamed up with the elder Macklowe to help him regain control of New York’s Drake Hotel, which he had planned to demolish as part of his vision of creating an office and retail complex along 57th Street.