Waterman Interests, a privately-held commercial real estate investment and operating company, has acquired the leasehold interest secured by 400 Park Avenue, a class A 21-story office and retail building located in Midtown’s Plaza district, New York.

Waterman Interests formed an equity joint venture to acquire the property with institutional investors advised by J.P. Morgan Asset Management – Global Real Assets.

The purchase was made on a “free and clear” basis without using any mortgage or other forms of financing.

Waterman Interests will serve as the managing member of the ownership entity and it or its affiliates will provide all property management, leasing, and financial services to the partnership.

400 Park Avenue was designed by the architecture firm of Emery Roth and was originally constructed in 1957. The building is currently 70 per cent leased.

“We are thrilled to have completed this creative and complex transaction with our long-time partners at J.P. Morgan Asset Management and their investors,” says Philip Waterman III, founder and managing member of Waterman Interests. “I am particularly proud of our team as completing this transaction was a long road. We are looking forward to setting a new course for the asset and creating exceptional value for all parties. Equally important is the continuation of a 20-year business relationship I have been privileged to have with J.P. Morgan Asset Management.”

Hilary Spann, vice president at J.P. Morgan Asset Management, adds: “The investment in 400 Park Avenue provides our investors with an opportunity to achieve an attractive risk-adjusted return in the most prestigious office submarket in the country. We are also very pleased to expand our relationship with Tod Waterman and his firm.”