Rithm Capital and DRA Advisors Form JV for 1301 Avenue of the Americas

Rithm Capital and DRA Advisors have announced a joint venture to own 1301 Avenue of the Americas, the two firms confirmed in an announcement distributed via Business Wire.

The deal establishes joint ownership of the Midtown Manhattan office building through a newly formed partnership between Rithm Capital, the New York-based alternative asset manager, and DRA Advisors, a real estate investment advisor. The companies disclosed the joint venture structure as the vehicle for their shared stake in the property.

1301 Avenue of the Americas is a well-known office address in Midtown Manhattan, positioned on the Avenue of the Americas corridor between West 52nd and West 53rd Streets, one of the city's most established commercial districts. The tower has long counted major corporate tenants among its occupiers, a factor that has kept the asset relevant in a Manhattan office market where tenant quality increasingly separates winners from losers.

Neither firm disclosed the purchase price, ownership split, or valuation of the joint venture in the announcement. The companies also did not detail the seller or the timing of the transaction's close.

For Rithm Capital, the joint venture adds a marquee New York office asset to a portfolio that spans real estate, financial services and origination businesses. The firm has built its strategy around deploying capital across real estate-related investments, and a direct stake in a Midtown tower extends that approach into institutional-grade office ownership alongside a dedicated real estate partner.

For DRA Advisors, the transaction fits its long-running focus on real estate investment management on behalf of institutional and private clients. DRA has decades of experience acquiring and operating commercial properties, and the joint structure with Rithm pairs an asset specialist with a capital platform that has shown repeated appetite for large-scale real estate commitments.

The choice of a joint venture reflects a broader pattern in commercial real estate, where investors increasingly share exposure on large office assets rather than bearing sole risk. Office values in New York have come under pressure as financing costs rose and tenant demand concentrated in a smaller set of high-quality buildings. Partnerships allow firms to underwrite that risk jointly while maintaining claims on assets expected to hold or recover value.

The announcement did not specify planned capital improvements, leasing initiatives or refinancing steps for 1301 Avenue of the Americas. Ownership transitions of this scale typically prompt questions about positioning, capital expenditure and leasing strategy, and the new partners will face those decisions as they assume control of the asset.

The transaction also signals continued institutional appetite for Midtown office exposure despite a uneven recovery in the sector. Investors with long horizons and specialist operating partners have been the most active buyers of New York office towers, betting that prime locations and solid tenant bases will outperform as the market sorts between competing buildings.

Rithm Capital and DRA Advisors will now set the direction for the property as co-owners. The market will watch how the joint venture positions 1301 Avenue of the Americas for leasing and value creation in a Manhattan office environment that continues to reward well-capitalized ownership.