Posted Mar 10, 2026, 9:07 PM
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New Yorker for life
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Join Date: Jul 2001
Location: Borough of Jersey
Posts: 56,612
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^ Sometime this year.
https://www.crainsnewyork.com/real-estate/rxr-pitches-grand-central-tower-jpmorgan-clients
RXR pitches Grand Central supertall to JPMorgan clients as company seeks $6.5B in funding
Aaron Elstein
March 10, 2026
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Developer RXR is meeting big clients of JPMorgan tomorrow to gauge their interest in investing in a supertall tower from the real estate firm that could rise next to Grand Central Terminal.
The meeting, described as a “field trip” in an invitation from JPMorgan to institutional investors, comes as RXR and partner TF Cornerstone try to line up funding for a 2.9 million-square-foot office building at 175 Park Ave. Developers have told city officials the project would cost $6.5 billion.
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The 83-story tower at the corner of East 42nd Street would be as massive as the Empire State Building and lord over the 60-story, 2.3 million-square-foot headquarters building that JPMorgan opened last year amid much fanfare at 270 Park Ave. It would also dwarf the 46-story, 1 million-square-foot tower that BXP is developing next to Grand Central Terminal at 343 Madison Ave.
But 175 Park’s developers are still raising all the money they would need for the enormous undertaking that would replace the Grand Hyatt Hotel.
Two years ago the companies applied for a $4.8 billion loan for the tower from the U.S. Department of Transportation. The office project is eligible for federal assistance because it would include improving the public transit infrastructure underneath. But officials haven’t yet signed off on the loan, according to Nathaniel Sizemore, the federal agency’s director of public affairs.
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Securing all the money needed for the ambitious project could hinge on RXR persuading a company to commit to leasing at least 500,000 square feet in 175 Park. So far, however, no tenant has publicly committed to the project. RXR officials said at a January hearing of the New York City Public Design Commission that they expect to begin construction in June.
RXR owns more than 30 million square feet of commercial space throughout the country, including office buildings at 1285 Sixth Ave. and 590 Madison Ave. TF Cornerstone owns more than 12,000 New York apartments and 5 million square feet of commercial space.
Both firms could contribute plenty of their own cash to help fund construction of 175 Park, but they would also still need funding from outside sources. That could explain why RXR and JPMorgan clients are meeting Wednesday at 4 p.m. in a suite at 1 Vanderbilt Ave., SL Green’s recently constructed supertall tower next to Grand Central that, as top office broker Woody Heller noted, is fully occupied.
“I’m not surprised people would be interested in investing in 175 Park given its extraordinary location, its enormous size and scale, and the unprecedented recovery of the office market, particularly for premium new construction,” said Heller, founder of Branton Realty Services.
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Last edited by NYguy; Mar 10, 2026 at 9:41 PM.
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