China’s Anbang denies report of Kushner property investment
Chinese insurance group is named in a Bloomberg report as a possible investor in a US$4 billion deal to buy the 41-floor building located at 666 Fifth Avenue
China’s Anbang Insurance Group said it is not investing in a Manhattan office tower owned by the family of Jared Kushner, President Donald Trump’s son-in-law and senior adviser.
Anbang Insurance Group was named in a Bloomberg report as a possible investor in a US$4 billion deal to buy the 41-floor building located at 666 Fifth Avenue, according to a copy of the agreement that was being circulated to attract additional investors.
“The information about Anbang investment in 666 Fifth Avenue is not correct, there is no investment from Anbang for this deal,” a spokesman for Anbang said on Tuesday.
The property was purchased by Kushner Companies in 2006 for US$1.8 billion, which at the time was the highest sales price for a single building in Manhattan.
“Kushner Companies is in active discussions around 666 5th Avenue, and nothing has been finalised,” a spokesman for Kushner Companies said on Tuesday.
Anbang, established in 2004 as an auto insurer, has emerged as one of China’s most aggressive buyers of overseas assets in the past two years, spending more than US$30 billion buying luxury hotels, insurers and other property assets.
Based in Beijing, Anbang manages some 1.65 trillion yuan (US$239.8 billion) worth of assets, and has been involved in some high-profile deals, although a handful did not make it across the finish line.
The Chinese insurer abruptly pulled out of a US$14 billion bid for Starwood Hotels & Resorts Worldwide last year, and its attempt to buy US annuities and life insurer Fidelity & Guaranty Life is facing regulatory hurdles.
In 2014, the insurer bought New York’s landmark Waldorf Astoria hotel from Hilton Worldwide Holdings for US$1.95 billion. The company reportedly plans to convert as many as 1,100 of the hotel’s 1,413 rooms into condominiums.
Kroll Bond Rating Agency said the 666 Fifth Avenue building was 20% vacant as of July 2016, and valued the property at US$982.1 million.