Click here to close now.




















Welcome!

News Feed Item

TIAA-CREF Invests with Forest City Ratner Companies and the INDURE Fund in New York by Gehry at Eight Spruce Street in New York City

TIAA-CREF adds a rarely-traded, top-quality multifamily asset to its diversified portfolio;

NEW YORK, Dec. 21, 2012 /PRNewswire/ -- Forest City Ratner Companies, a subsidiary of Forest City Enterprises, Inc., the INDURE Fund, a commingled real estate fund managed by National Real Estate Advisors (NREA), and TIAA-CREF, a leading financial services provider, today announced that TIAA-CREF has acquired a 49 percent equity ownership in the residential portion of New York by Gehry at Eight Spruce Street, the award-winning Frank Gehry-designed building, that has redefined the New York City skyline.  

This transaction values the 76-story, 898-unit high rise at $1.05 billion. Original partners Forest City and NREA are retaining 26 and 25 percent stakes, respectively.  Prior to TIAA-CREF's investment, Forest City was 51 percent equity owner and NREA 49 percent. 

 "The valuation of this tower is the result of a tremendous amount of planning and care, with respect to everything from site selection to the building's world-class design and top-tier amenities and management. Our goal has been to bring condominium-quality living to the luxury rental market, and it is clear today that we have succeeded," said Bruce C. Ratner, Chairman and CEO of Forest City Ratner Companies. "Frank Gehry's first-ever skyscraper has truly transformed the skyline, becoming a 'vertical city' that emblemizes the vitality of Lower Manhattan as a burgeoning live-work neighborhood. It's wonderful to co-invest with an institution like TIAA-CREF in this endeavor."

Real estate provides investors an opportunity to create long-term growth and diversification and a potentially stronger hedge against inflation compared to publicly traded equities and fixed income investments.  Historically, apartment assets outperform the NCRIEF property index more frequently than any other real estate sector.1

"We believe that high-quality multi-family assets in cities with the strongest demographics such as New York can be powerful additions to our well-diversified real estate portfolios," said Phil McAndrews, head of real estate transactions and joint ventures, TIAA-CREF.  "The opportunity to invest in state-of-the-art, high-rise urban apartment complexes can be rare and we look forward to working with Forest City to maximize the value of this asset for our clients over the long-term." 

Jeffrey J. Kanne, President and CEO of National Real Estate Advisors, said that National was "very pleased to be broadening our partnership to include one of the country's preeminent real estate investors.  We believe the high quality of our new partnership is reflective of the extraordinary quality of New York by Gehry and we look forward to working together for many years to come."

"This transaction between Forest City, National Real Estate Advisors and TIAA-CREF is truly befitting of New York by Gehry, one of the world's most iconic residential towers. This was a rare and outstanding institutional investment opportunity to acquire an ownership position in a high-performing, prestigious property with one of the country's finest developers." said Darcy Stacom, CBRE Vice Chairman.

TIAA-CREF owns more than $19 billion of primarily high-quality properties in the office, retail, industrial and multifamily sectors across the United States, Canada and Western Europe as of September 30, 2012.

1 Based on NCREIF NPI Index and individual sector indices, the apartment sector outperforms the total NPI with a higher frequency than any other sector on a quarterly basis since its inception in first quarter 1978, at 64 percent of the time.

About New York by Gehry at Eight Spruce Street
New York by Gehry at Eight Spruce Street, the tallest all-residential building in America, opened in 2011 to global acclaim. With its curving exterior curtain wall comprised of 10,000 unique steel panels, the tower is a major addition to the Manhattan skyline, existing in lively conversation with nearby landmarks—the Woolworth Building and the Brooklyn Bridge. Marking its opening in 2011, New York Times architecture critic declared New York by Gehry the "finest skyscraper to rise in New York" in nearly a half-century.  The building's 898 units include family-friendly two and three bedroom apartments, as well as three remarkable penthouses.

Gehry's design carries the drama of the exterior curtain wall movement into residents' private spaces, the building's folds result in some 200 unique apartment layouts. Where the facade undulates outward, large free-form bay windows that change location from floor to floor make the most of the building's unique site, allowing for unobstructed panoramic views in every direction.

In a rare arrangement, Frank Gehry not only designed the building's exhilarating facade but all of the interiors and amenity spaces, curating all finishes and fixtures. Residents of New York by Gehry have exclusive access to a host of lifestyle services from a full-service concierge, on-site valet services to health, wellness, social and entertainment amenities across 22,000 square-feet of indoor and outdoor space.  These amenity spaces are alive with robust programming tailored to tenant and family interests.

The mixed-use development includes a five-story, 100,000-square-foot Spruce Street School, as well as doctors' offices for physicians associated with New York Downtown Hospital. There is 26,000 square feet of below-grade parking for 175 cars for hospital use.

Another highlight of New York by Gehry is its ground floor outdoor open space, two beautifully-landscaped public plazas totaling 15,000-square-feet, designed by Field Operations, the creative force behind Manhattan's High Line, in collaboration with Dutch horticulturist Piet Oudolf, who collaborated with Gehry on Chicago's Millennium Park.

About Forest City Ratner Companies 
Forest City Ratner Companies (FCRC), a wholly owned subsidiary of Forest City Enterprises, Inc., owns and operates 34 properties in the New York metropolitan area. Forest City Enterprises is an NYSE-listed national real estate company with $10.7 billion in total assets. FCRC properties include the Renzo Piano-designed New York Times headquarters in Midtown Manhattan; MetroTech Center in Downtown Brooklyn, the 1.3 million square foot Westchester's Ridge Hill regional shopping center in Yonkers; and the 18,000-seat Barclays Center arena in Brooklyn, part of the $4.9 billion Atlantic Yards mixed-use project currently in construction. For more information, visit http://www.forestcity.net.

About NREA and INDURE
National Real Estate Advisors, LLC (www.natadvisors.com) is an independent real estate advisor specializing in real estate investments on behalf of large institutional investors.  National manages nearly $2 billion of client capital and invests based on its "Build-to-Core" philosophy, carefully selecting development projects to add to the core of its portfolio.  The strategy is designed to create a modern portfolio with lasting value. 

The IBEW-NECA Diversified Underwritten Real Estate Fund (INDURE) is an open-ended commingled real estate investment fund managed by NREA which invests equity and debt in institutional quality, geographically-diversified properties nationwide.

About TIAA-CREF
TIAA-CREF (www.tiaa-cref.org) is a national financial services organization with $495 billion in assets under management (as of 9/30/12) and is the leading provider of retirement services in the academic, research, medical and cultural fields.

TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc., members FINRA, distribute securities products.

Past performance does not guarantee future results.

Real estate investments are subject to various risks, including fluctuations in property values, higher expenses or lower income than expected, and potential environmental problems and liability.    

The TIAA General Account is an insurance company account and does not present an investment return, and is not available to investors.

SOURCE Forest City Ratner Companies

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Enterprises can achieve rigorous IT security as well as improved DevOps practices and Cloud economics by taking a new, cloud-native approach to application delivery. Because the attack surface for cloud applications is dramatically different than for highly controlled data centers, a disciplined and multi-layered approach that spans all of your processes, staff, vendors and technologies is required. This may sound expensive and time consuming to achieve as you plan how to move selected applicati...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading in...
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on...
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding bu...
As more intelligent IoT applications shift into gear, they’re merging into the ever-increasing traffic flow of the Internet. It won’t be long before we experience bottlenecks, as IoT traffic peaks during rush hours. Organizations that are unprepared will find themselves by the side of the road unable to cross back into the fast lane. As billions of new devices begin to communicate and exchange data – will your infrastructure be scalable enough to handle this new interconnected world?
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and a...
The 5th International DevOps Summit, co-located with 17th International Cloud Expo – being held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the ...
Everyone talks about continuous integration and continuous delivery but those are just two ends of the pipeline. In the middle of DevOps is continuous testing (CT), and many organizations are struggling to implement continuous testing effectively. After all, without continuous testing there is no delivery. And Lab-As-A-Service (LaaS) enhances the CT with dynamic on-demand self-serve test topologies. CT together with LAAS make a powerful combination that perfectly serves complex software developm...
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises ar...
DevOps Summit, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development...
It’s been proven time and time again that in tech, diversity drives greater innovation, better team productivity and greater profits and market share. So what can we do in our DevOps teams to embrace diversity and help transform the culture of development and operations into a true “DevOps” team? In her session at DevOps Summit, Stefana Muller, Director, Product Management – Continuous Delivery at CA Technologies, answered that question citing examples, showing how to create opportunities for ...
Mobile, social, Big Data, and cloud have fundamentally changed the way we live. “Anytime, anywhere” access to data and information is no longer a luxury; it’s a requirement, in both our personal and professional lives. For IT organizations, this means pressure has never been greater to deliver meaningful services to the business and customers.
This Enterprise Strategy Group lab validation report of the NEC Express5800/R320 server with Intel® Xeon® processor presents the benefits of 99.999% uptime NEC fault-tolerant servers that lower overall virtualized server total cost of ownership. This report also includes survey data on the significant costs associated with system outages impacting enterprise and web applications. Click Here to Download Report Now!
In his session at @ThingsExpo, Lee Williams, a producer of the first smartphones and tablets, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. He will explain how M2M controllers work through wirelessly connected remote controls; and specifically delve into a retrofit option that reverse-engineers control codes of existing conventional controller systems so the...
In 2014, the market witnessed a massive migration to the cloud as enterprises finally overcame their fears of the cloud’s viability, security, etc. Over the past 18 months, AWS, Google and Microsoft have waged an ongoing battle through a wave of price cuts and new features. For IT executives, sorting through all the noise to make the best cloud investment decisions has become daunting. Enterprises can and are moving away from a "one size fits all" cloud approach. The new competitive field has ...