The Hudson’s Bay Company has sold its flagship Lord & Taylor’s retail outlet, which will now serve as the new global headquarters for WeWork in a $850 million. The new owner WeWork Property Advisors is a joint venture between WeWork and Rhône Capital that’s making a $500 million equity investment in HBC as part of the deal. Located at 424 5th Ave, New York, the 676,000 square foot building changed hands for a little under $1260 per sqf. Lord & Taylor will lease the bottom floors of the building, taking less than a quarter of its current space. In addition to taking over the Lord & Taylor flagship, WeWork will also take space in the upper floors of three HBC stores in Canada and also in Frankfurt. Proceeds from the sale will be used to pay down existing debt of the Hudson’s Bay Company.
