Qatar Investment Authority (QIA) has invested an estimated $3.8 billion in Manhattan West, a development project in New York.
QIA entered into a joint venture with Brookfield Property Partners, buying a 44 percent interest in the mixed use project, which is estimated to be worth $8.6 billion.
Manhattan West is a five-building, 7-million sq ft development project on the west side of Manhattan, bounded by 31st and 33rd Streets and 9th and 10th Avenues.
The project consists of residential and office towers, as well as a possible hotel development. The Manhattan West campus will be transected by a two-acre public park, creating a new pedestrian thoroughfare, lined with green space and approximately 200,000 square feet of retail, restaurants and amenities.
Sheikh Abdulla, CEO of QIA, said the investment shows the sovereign wealth fund’s growing commitment and confidence in the US market.
“We are pleased to expand our relationship with Brookfield and invest in this world-class project. This joint venture is an example of our strategy to invest in high-quality real estate with strong partners. It is also a further demonstration of QIA’s long-term confidence in the US market,” he said.
Ric Clark, CEO of Brookfield Property Group, said Manhattan West is on track to be “New York City’s next great neighbourhood”.
“The sale of an interest in Manhattan West is consistent with our strategy of actively recycling capital by partnering with leading institutional capital providers,” Clark said.
Bruce Flatt, CEO of Brookfield Asset Management, added, “Brookfield has enjoyed a long-standing, successful relationship with QIA and we are thrilled that they share our vision for this transformative project.”
QIA has previously invested with Brookfield in projects such as Canary Wharf in London
In September, QIA announced plans to open an office in New York, which would help channel investments worth $35 billion into the US over the next five years.
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