The sale to Olayan America closed for the anticipated high price
In April, news broke that the former Sony Building at 550 Madison Avenue was in the process of getting new owners, as Chetrit Group and Clipper Realty—which bought the building back in 2013—were in talks to sell the building to Olayan America.
And now, the deed is officially done: City records that appeared yesterday show that Olayan closed on the building as of late last month. As suspected, Chetrit will get a nice little profit, as the final closing cost for the property was $1.4 billion. Olayan also received a $570 million bridge loan from ING Capital, but paid for the rest of the building in cash, according to The Real Deal.
When Chetrit first snapped the building up, the plan was to build luxury condos and a hotel in the 37-story Midtown icon. Robert A.M. Stern was tapped to design the apartments, while European hotelier Oetker Collection would have operated the hotel. But those plans were scrapped earlier this year, as Chetrit reportedly got cold feet about launching a high-end condo during a market slowdown. Olayan's plans for the building are still a mystery at this time.
- Olayan closes on Sony Building buy, gets $570M bridge loan [TRD]
- Sony Building's Condo Conversion Allegedly Scrapped With Building Sale [Curbed]
- Robert A.M. Stern To Design 'Opulent' Sony Building Condos [Curbed]