Amancio Ortega, the Spanish billionaire known for his global real estate investments, has agreed to sell 366 Madison Avenue in Midtown Manhattan for $50 million, according to a report from Bloomberg. The buyer is Sioni Group. Neither Pontegadea, Ortega’s family office, nor Sioni Group responded to requests for comment.
Ortega originally acquired the 85,000-square-foot office building nearly twenty years ago for $115.5 million. The latest sale price represents a significant loss, with the value dropping by more than half and translating to about $588 per square foot.
Eastdil Secured is advising on the transaction. The advisory team includes Will Silverman, Gary Phillips, and Jeff Organisciak.
Despite recent setbacks in New York’s office market following the pandemic, Ortega continues to make substantial property acquisitions globally. This summer alone, Pontegadea purchased Miami’s Sabadell Financial Center for approximately $275 million and the Veneto Las Olas apartment tower in Fort Lauderdale for $165 million. Internationally, the firm also bought Paris’ Hotel Banke for $113 million and an office building in Barcelona housing publisher Planeta’s headquarters for $284 million.
As of July this year, Forbes estimated Ortega’s net worth at $115 billion, ranking him as the world’s 13th richest person.
Manhattan’s commercial real estate market remains challenging. Last week saw Savanna enter into contract to acquire Westbrook Partners’ leasehold on 444 Madison Avenue for $50 million—a sharp decline from Westbrook’s 2007 purchase price of $314 million. Westbrook recently defaulted on its Wells Fargo loan of $120 million.
