RXR's $1.1 Billion Acquisition of 590 Madison Avenue Marks First Manhattan Office Sale Above $1B in Three Years

RXR and Elliott Investment Management have completed a $1.1 billion acquisition of 590 Madison Avenue, the former IBM tower in Midtown Manhattan, in a deal that marked the first Manhattan office real estate transaction to surpass the billion-dollar threshold in three years.

A Landmark Office Real Estate Acquisition in Midtown Manhattan

The office tower at 590 Madison Avenue is a recognizable fixture in Midtown Manhattan. RXR's acquisition of the property alongside Elliott Investment Management broke a multi-year drought in large-scale Manhattan office real estate transactions, standing out as a notable data point for the broader office sector.

Repositioning and Amenity Investment

Since completing the acquisition, RXR has invested in significant upgrades to the building. Most notably, the firm developed the new Madison Avenue Club — a 25,000-square-foot amenity space designed by Gensler. The space features wellness areas, hospitality-style amenities, and an outdoor terrace lounge.

Tenant Roster

The repositioning effort at 590 Madison Avenue has attracted major tenants. RXR has highlighted occupiers including Apollo Global Management, Schoenfeld Strategic Partners, and LVMH among those at the property.

Market Context

By marking the first Manhattan office sale to surpass the billion-dollar threshold in three years, the deal provides a pricing reference point for a segment of the market that had seen limited transaction activity in recent years.

Sources

RXR — 590 Madison Avenue Tower Reaches Turning Point