The increasing influence of foreign investment capital has become a hot topic of discussion in the New York City real estate market in recent years. These days, you don’t have to look far to find the latest condo high-rise purchased by overseas billionaires. And where do the many of the most well-known of these investments come from? China, of course. Over the course of the past decade, high-profile Chinese businesses magnates have begun pouring their surplus income into New York City properties. In 2014 alone, Chinese investors spent more than $3 billion on New York City real estate. In this entry, we’ll look at a few of the most noteworthy of these investment examples.
General Motors Building
When this 5th avenue tower was sold in 2008 for $2.8 billion, it gained notoriety for becoming the single most valuable office building in the country. Then, in 2013, a Beijing-based developer named Zhang Xin made her mark on the high-value tower, buying a 20-percent stake in its ownership.
Park Avenue Plaza
Following their $700 million investment in the GM building, Zhan Xin’s development firm SOHO China wasted no time in investing an additional $600 million in this 1.2 million square-foot SOM-designed tower on Park Avenue between 52nd and 53rd street.
The most famous hotel in New York City was purchased in 2014 by the Beijing-based Anbang Insurance Group for a whopping $1.95 billion. Soon afterwards, the Wall Street Journal reported that this transaction was “by far the most ever paid for a hotel.”
Chase Manhattan Plaza
Another iconic NYC landmark, the Chase Manhattan Plaza was purchased by Fosun International Ltd. for $725 million. The property has since been renamed 28 Liberty Street, and the purchaser intends to add nearly 200,000 square feet of retail space to the building while replacing it’s granite facade with glass storefronts.
Stay tuned for more updates on the New York City real estate market from Robert Khodadadian of Skyline Properties!