Rithm Capital Surprises Industry with $1.6B Deal to Acquire Paramount Group’s Office Space in NYC and SF

Rithm Capital, a relatively unknown asset manager, has caused quite a stir in the real estate industry with their surprise $1.6 billion deal to buy Paramount Group's office space in New York City and San Francisco. This unexpected acquisition comes after bids from big players like Blackstone, SL Green, and Empire State Realty Trust.

Despite being lesser-known, Rithm Capital has deep pockets and a focus on mortgage servicing, making them a formidable competitor in the market. And their patience in the office sector has paid off, as they were able to secure Paramount's 13 million square feet of office space at a significant discount of 40% from its book value.

"We've been very patient in the office sector, and we believe now is the right time to do so," said a spokesperson for Rithm Capital. This deal marks a major milestone for the company as they continue to expand their portfolio.

The unexpected nature of this deal has raised some eyebrows in the industry, with many questioning how Rithm Capital was able to come out on top. However, without any specific quotes or evidence of wrongdoing, we can only speculate on the behind-the-scenes influence games that may have taken place.

What we do know is that Rithm Capital's acquisition of Paramount's office space is a significant move that will greatly impact the real estate landscape in both New York City and San Francisco. And with their deep pockets and focus on mortgage servicing, it's clear that Rithm Capital is a force to be reckoned with in the industry