Norges Bank Investment Management (NBIM), the asset manager of Norway’s Government Pension Fund Global, has extended the remaining 72-year ownership interest in the Hudson Square portfolio in New York City to a 99-year term.

The agreement, which was signed on 17 April, also involves an extension of its partnership with Trinity Church Wall Street and Hines.

“We will pay approximately $98m for the extended 48 per cent ownership interest in the portfolio,” NBIM announced in a statement.

The portfolio consists of 12 assets in the Hudson Square submarket in New York City, and as part of the transaction, NBIM has also entered into agreements to acquire a 48 per cent interest in two to-be-constructed assets upon construction completion.

The new assets are to be located adjacent to two of the existing assets in the portfolio, at 561 Greenwich Street and 92 Avenue of the Americas.

The properties are currently solely owned by Trinity Church Wall Street, which plans to develop 283,000 square feet of office and retail space.

Norges Bank Real Estate Management also owns a 48 per cent interest in 375 Hudson Street, which is part of the joint venture with Trinity Church Wall Street and Hines.

No financing will be involved in the transaction, NBIM said.

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