Dutch Fund Joins Tishman Speyer in Chrysler Building Ground Lease

What happened

Dutch pension investor Bouwinvest Real Estate Investors and developer Tishman Speyer have launched a separately managed account to buy office buildings across the United States. Its first investment is the 150-year ground lease on the Chrysler Building in Midtown Manhattan. Commercial Observer reported the launch on October 22, 2026, and Bisnow New York on October 23, 2026. Commercial Observer names the vehicle Bouwinvest-Tishman Speyer SMA.

Tishman Speyer finalized the Chrysler deal earlier in October together with the Public Sector Pension Investment Board and other institutional investors. Cooper Union, the college that owns the land under the 77-story tower, receives ground lease payments. Bisnow says the deal includes a $235M investment and describes a $351M ground lease that expires in 2176. Commercial Observer describes the $235 million as an agreement to renovate the tower. Tishman Speyer plans a major upgrade of the 1.3M SF building, adding hotel-style services and modern workspace.

The account will target office buildings that need renovation or repositioning in major markets such as New York, Boston, Chicago and San Francisco, and in established fast-growing cities. It may buy alongside other Tishman Speyer office funds or outside partners. Bisnow reports it sits next to a Tishman Speyer office club with about $700M in equity, enough for roughly $1.5B in purchases once debt is included. Commercial Observer says it is unclear how many properties the account will target or how much money the two firms have put in.

Bouwinvest is the real estate arm of Dutch pension fund bpfBOUW and oversees €18.5B ($21B) in assets. Until early September, its work abroad was only for bpfBOUW. Other institutional investors can now use its international platform. The two firms have worked together before, including Bouwinvest's $100M investment in The Spiral at Hudson Yards in 2018.