Embattled New York real-estate mogul Harry Macklowe has agreed to sell his prized asset, the General Motors building, and three other New York office towers to a group that includes Boston Properties and Goldman Sachs Group Inc. for $1.5 billion and the assumption of $2.5 billion in debt.
The deal, announced Saturday, effectively rescues Mr. Macklowe from a financial crisis that he brought upon himself by buying a package of seven Manhattan skyscrapers from the Blackstone Group for $7 billion last year at the top of the market. The most dangerous piece of his financing package in that deal was a $1.4 billion loan from Fortress Investment Group that went into default in February. His deal with Boston Properties, which was announced today, will generate enough cash for him to pay off Fortress.
New York City 2010
