HNA is said to sell NYC office tower for at least US$300m

[NEW YORK] HNA Group, the debt-laden Chinese conglomerate seeking buyers for real estate globally, sold a Manhattan office tower for at least US$300 million, according to two people with knowledge of the deal.

Northwood Investors, a firm led by John Kukral, bought the 398,892-square-foot tower at 1180 Avenue of the Americas in Midtown, said the people, who asked not to be identified because the sale hasn't been disclosed publicly.

David Chen, an HNA representative, didn't respond to voicemail messages and an email seeking comment on the sale. Mr Kukral and Northwood representatives also didn't respond. The transaction was first reported Thursday by the Real Deal.

In the US, HNA has been marketing commercial properties in New York, Chicago, San Francisco and Minneapolis valued at a total of US$4 billion, including the Avenue of the Americas tower, according to a marketing document seen by Bloomberg last week.

The company, a once-voracious hunter of global trophy assets, is seeking to sell more than US$6 billion in properties worldwide as pressure intensifies to speed up disposals so it can repay its debts.

HNA first began seeking a buyer for 1180 Avenue of Americas early last year. It bought a 90 per cent stake in the property in 2011 in a deal that valued the property at US$274 million, according to data from research firm Real Capital Analytics.

Norman Sturner, founding principal of MHP Real Estate Services, which held the other 10 per cent of the tower, said in a phone interview that HNA bought his stake on Thursday. Mr Sturner said he had no direct knowledge of any sale of the property by HNA.

BLOOMBERG