400 Madison Ave. Sells for $195M

Daishin Securities Co., Seoul, South Korea, acquired 21-story office asset 400 Madison Avenue for $194.5 million.

The financial services firm acquired the 180,000-square-foot building from ASB Real Estate Investments, Bethesda, Md. It includes 6,800 square feet of ground-floor retail space with 200 feet of frontage along Madison Avenue. 

Meridian Capital Group Senior Executive Managing Director Helen Hwang, Managing Director Karen Wiedenmann, Senior Director Brian Szczapa, Project Manager Ernie Nichols and Analyst Nicholas Pio Dailey represented Daishin Securities in the transaction.

“400 Madison Avenue presented a rare opportunity to control an entire block-front along one of Manhattan’s preeminent office and retail corridors” Hwang said. She noted significant new investment in the area due to last summer’s Midtown East Rezoning, which allows existing buildings to transfer air rights and developers to build taller buildings.

For example, JP Morgan Chase & Co. recently acquired air rights from nearby Grand Central Terminal to build its new Midtown Manhattan headquarters in the neighborhood.

ASB acquired the East Side property in 2012. During its ownership the firm completed a common area renovation, facade overhaul and a speculative office suite program to attract new tenants. ASB Senior Vice President and Northeast Region Head of Investments Brodie Ruland said the time was right to “harvest the investment” after the firm completed its value-add plan.

ASB sold the asset on behalf of its $7.3 billion core investment vehicle Allegiance Real Estate Fund.