Developers Say Hedge Funds Eye New WTC

Sep 12 2012 | 10:31am ET

The 11th anniversary commemoration of the Sept. 11, 2001 terrorist attack on New York's World Trade Center yesterday offered family members, survivors and others around the globe an opportunity to remember and mourn those lost on that tragic day. But it also gave the world a close-up view of the skyscraper that is rising in place of the 110-story towers that fell on that day—a tower that looks closer and closer to being completed.

Occupants are scheduled to move in to One World Trade Center in 2014. But if the building were ready today, it would stand in stark contrast to its predecessors in at least one way: None of the three tenants who have signed up, and taken 55% of the building's space, are in financial services.

But representatives of the managers and developers of the new World Trade Center—which will include at least four other office towers, including the completed Seven World Trade Center—tell eVestment|HFN that they have held talks with financial firms, including hedge funds, although none has yet signed on the dotted line.

The Durst Organization's Jordan Barowitz told HFN that his company, which manages 1 WTC, has talked with "several hedge funds." Jeremy Moss of Silverstein Properties, which is developing the rest of the site, has also held discussions with a "couple of large hedge funds."

"You have an address that is recognized throughout the world and the leadership at these hedge fund is cognizant of that," Moss added.

What is more, firms moving to the new WTC could receive major financial benefits for doing so. Hedge fund lawyer Eric Hutner, a 9/11 survivor who said he "would never go back to the place where I almost died," said he could imagine hedge funds moving to what will be New York's tallest building.

"It's a very individualized process, and it depends if the decision-maker has any personal aspect to consider," Hutner told HFN. "If someone can save $10 million by moving their operations from Greenwich to the World Trade Center, then maybe it could happen."

Moss said that visiting potential tenants have been impressed and reassured by the massive security planned for the complex. And, of course, the new WTC already has at least one industry tenant: fund of funds IV Capital, which calls 7 WTC—opened in 2006—home.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Griffin Selling Chicago Apartment

Nov 26 2014 | 11:40am ET

Citadel Investment Group’s Kenneth Griffin is making clear to his estranged wife...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.