The two properties consist of 11,232 apartments and are located on First Avenue between 14th and 23rd streets in Manhattan. Many of the apartments are “rent-stabilized” and Jerry Speyer, president of Tishman Speyer, said in a statement accompanying the deal announcement, ““The thousands of tenants in rent-stabilized apartments are completely protected by the existing system. No one should be concerned about a sudden or dramatic shift in this neighborhood’s make-up, character or charm.”
The deal could prove to be a windfall for MetLife as one analyst at Bear, Stearns & Company Inc. estimated “that MetLife may have been earning just $50 million per year on a property with a price that will bring it a gain of about $3 billion.”
A question most company’s deal with on a constant basis is what to do with $3 billion. They could stick it in a conservative investment with a 5 percent return and reap $150 million a year in interest just for laughs. Any ideas of what MetLife should do with this money?
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