Deutsche Bank AG’s (DB - Free Report) unit – Deutsche Asset & Wealth Management or DeAWM – has purchased 95% stake in 222 Broadway in New York City through its real estate investment business in alliance with L&L Holding Company. Based in Manhattan, L&L Holding owns and operates Class A properties.
The deal value is around $500 million, reflecting $658 per square foot. The property – 222 Broadway – is a Class-A, 31-story office and retail building, covering 775,000 square feet of space in downtown Manhattan.
The building enjoys proximity to a large number of business and retail sites and a solid mix of corporate and retail tenants helps in reaping steady cash flows from it. Further, given its location in the bustling New York City, renovation of the building will boost its long-term value.
Notably, DeAWM’s real estate investment business has its presence in the real estate market for over 40 years. As of Jun, 30, 2014, its assets under management were €35.2 billion ($48.2 billion).
Deutsche Bank currently carries a Zacks Rank #4 (Sell). Some better-ranked stocks in the foreign banks space include Brazil based-Banco do Brasil S.A. , South Korea’s Shinhan Financial Group Company Ltd (SHG - Free Report) and Mexico based-Grupo Financiero Inbursa, S.A.B. de C.V. . All these stocks sport a Zacks Rank #1 (Strong Buy).