Bank of America
NY, NJ, MA, U.S.
C&W Services: Capital Markets, Corporate Occupier & Investor Services, Leasing
Three Landmark Transactions
Bank of America (BofA) is one of the world's largest financial institutions, serving clients through operations in more than 40 countries. In evaluating its real estate needs in light of a 2010 downsizing and expense management effort, BofA undertook an initiative to sell non-core business units and assets that did not support its strategy, thereby strengthening the balance sheet. “Real estate ownership was not a core business for Bank of America," according to a bank spokesperson and it looked to Cushman & Wakefield to assist them in selling a number of properties and repositioning the occupancy in its leased portfolio.
In 2012, Cushman & Wakefield teams from Corporate Occupier Services, Investment Banking, Commercial Leasing, and Capital Markets collaborated in the completion of three noteworthy transactions on behalf of BofA in the Northeast – each of which represented a top transaction in its respective market.
Cushman & Wakefield and Merrill Lynch orchestrated the sale-leaseback of a 1.8-million-square-foot, 540-acre corporate campus in Hopewell, NJ. The transaction incorporated a unique fee ownership structure, involving four investors in a joint venture partnership. The transaction represents New Jersey’s largest-ever, single-asset suburban office transaction for 2012 – in terms of both size and dollar value.
In Midtown Manhattan, BofA was interested in right-sizing its operations and creating additional efficiencies. In a process that began in 2010, Cushman & Wakefield was able to capitalize on a tenant-favorable Manhattan real estate market to craft a compelling renewal vs. relocation strategy for BofA. The 2010/2011 economic environment had made most companies, especially banks, hesitant to bear the costs of relocation. By engaging the market early, Cushman & Wakefield was able to create significant leverage for BofA to secure a 489,316-square foot-renewal at 114 W 47th Street, while preserving BofA’s long-standing relationship with the landlord.
In a disposition that was one of the largest office transactions in the U.S. and the only downtown office tower sale in Boston, our teams assisted the bank in the sale-leaseback of 100 Federal Street, a 1.3-million-square-foot, 37-story class A office tower in Boston’s Central Business District. This transaction was the monetization of a multi-tenanted owned asset acquired through the merger of BofA and Fleet Bank. Bank of America continues to lease a significant portion of the building