NEW YORK CITY—Oxford Properties Group and Canada Pension Plan Investment Board have closed on the acquisition of the south portion of the St. John’s Terminal site, for $700 million. The sellers are Westbrook Partners and Atlas Capital Group. Oxford will own a 52.5% interest and manage the development. CPPIB will own the remaining 47.5% interest.
The 3.25 acre complex features 600 feet of Hudson River frontage. Built in 1934 as the freight rail terminus to the High Line, the existing St. John’s Terminal has soaring ceiling heights and over-sized floor plates.
“The St. John’s Terminal site represents an exciting opportunity for Oxford to continue to shape the city’s west side,” said Andrew Trickett, SVP, Oxford Properties. “We are focused on premier properties and development opportunities in core locations, and St. John’s Terminal is directly in line with that strategy.”
“St. John’s Terminal is a compelling development opportunity that aligns well with our strategy to invest in key US target markets and expands our real estate portfolio in Manhattan,” said Hilary Spann, managing director, head of real estate Investments Americas, CPPIB.
The purchased section of the massive former warehouse is south of West Houston Street. The northern portion of the site was not part of the transaction and will be developed separately.
Cushman & Wakefield’s debt and structured finance team of Steve Kohn, Dave Karson, Gideon Gil, Alex Hernandez and Alex Lapidus represented Oxford.
Oxford and CPPIB as joint-venture partners own over 14 million square feet of commercial office and retail real estate. They have jointly developed four office towers and own three sites yet to be developed.