111 Eighth Avenue

Address: 111 Eighth Avenue, New York, NY
Submarket: Midtown South/Chelsea/Meatpacking District
Size: 2,950,000 square feet
Type: Office and retail
Date Acquired: January 1998
Date Sold: December 2010

111 Eighth Avenue is a 2.9-million-square-foot property located at the apex of the Chelsea and Meatpacking Districts of Manhattan. Originally developed as the headquarters of the Port Authority of New York, the property occupies an entire square block between 8th and 9th Avenues and 15th and 16th Streets and sits above the 14th Street/8th Avenue subway station serving the A, C, E, and L lines. As one of the three largest buildings in New York City, it is home to a diverse tenant base including healthcare, advertising, fashion, publishing, and telecom companies.

Taconic acquired the property in January 1998 as part of a portfolio of assets that also included 95 and 99 Wall Street and 100 William Street. At the time, numerous warehouse tenants occupied much of the property, and the Midtown South market (of which Chelsea was a sub-district) was not considered a viable office location. Recognizing this asset’s strategic location within an emerging market, we implemented a complete repositioning plan including vacating the printing and warehouse tenants to assemble large blocks of space. Our substantial base building renovation overhauled vertical transportation, lobbies, common corridors, power plants, and fuel delivery systems, transforming 111 8th Avenue into a leading, first-class office building. Under our stewardship, the rent roll was substantially increased and the credit tenant roster today includes some of the world’s most recognized brands. The property was sold in 2010 to Google and Taconic continues to manage the property on its behalf.