NYC’s most iconic buildings are plummeting in value and savvy investors are gobbling up the deals

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To control its views and “campus” JPMorgan Chase is buying 250 Park Ave., an older office building that sits next to its new tower at 270 Park. “It was the right building for them to control,” said Darcy Stacom of Stacom CRE, who advised both the bank and its development partner Hines.

However, the buying frenzy is starting to buoy prices for some owners. Over a year ago, Stacom said buyers in general were offering $150 to $170 per foot but “nobody was selling at that pricing.”

Now, she said, buyers are willing to pay $300 per foot. “That’s why you are getting so many offers,” said Stacom, noting that buildings are getting 15 to 25 bids. Still, those prices are often a third of the original owner’s investment.

Well-positioned sellers at the top end of the market know their values will rise and are waiting for pricing to improve, added Scandalios.

Meanwhile, some buyers are targeting obsolescent office buildings for residential and hotel conversions.

“It’s expensive to take down buildings,” Stacom said, estimating costs of $35 to $75 a foot. “It can add up to a lot. That is why they are trying to convert the existing structures.”