Bloomberg occupies nearly 500,000 square feet across 20 floors, making it the building’s largest tenant. Its new agreement adds another 11 years to the company’s lease and gives Ofer guaranteed rent from one of the world’s largest financial media companies for years to come.
Ofer’s company, Global Holdings, purchased the 26 story tower for approximately $526 million in 2008. The building also contains stores, restaurants and direct access to Grand Central, giving it one of Manhattan’s strongest office locations.
The $380 million replaces older borrowing attached to the property. Banks are more willing to provide enormous loans when a building has a powerful tenant committed for many years, and Bloomberg’s decision gave Ofer the security needed to complete the deal.
Ofer is one of Israel’s wealthiest businessmen, with major holdings in real estate, shipping and technology. The agreement strengthens his control of a valuable Park Avenue property while keeping Bloomberg inside his building until 2040.