EOPT Buys Space in Midtown Manhattan

Equity Office Properties Trust, a Chicago-based real estate investment trust, has acquired office space in the former Bertelsmann Building in Midtown Manhattan for about $525 million.The office REIT reported that the office space in the building consists of 906,287 square feet, accounting for 83% of the building's space. The building, at 1540 Broadway, is "a signature asset, located in the heart of Times Square," said Richard Kincaid, president and chief executive officer of EOPT. "By focusing our acquisition solely on the office portion of the property, we were able to acquire our interest at well below replacement cost." The REIT said it expects that a "large pending vacancy" at the building will enable it to release the vacant space at better rates. With this acquisition, EOPT's New York City portfolio now includes nine buildings totaling over seven million square feet of office space in Midtown Manhattan, the company said. The REIT can be found online at http://www.equityoffice.com.