Tishman Speyer to Transform Chrysler Building
News related to:Tishman Speyer · 3 min read
NEW YORK, Oct. 7, 2026 /CourierPR/ -- Tishman Speyer, joined by PSP Investments and other institutional partners, has finalized a ground lease agreement for the Chrysler Building, a New York City icon and one of the most recognizable buildings in the world. The holder of a 150-year ground lease, which includes an investment of $235 million and ground lease payments to Cooper Union, Tishman Speyer will restore the landmark 77-story Grand Central office tower located at 405 Lexington Avenue. The investment aims to breathe new life into the 1.3 million-square-foot tower, deploying 100 percent equity to finance the ground lease and its redevelopment plan.
The Cooper Union, founded by inventor, industrialist, and philanthropist Peter Cooper in 1859, has owned the land on which the Chrysler Building was built since it was granted to the institution by Cooper's children in 1902. The land is intended to serve as a permanent source of financial support for the school's mission. The long-term ground lease to Tishman Speyer comes as the college is in the midst of a bold plan to restore full-tuition scholarships for all undergraduates.
The Chrysler Building, originally built to house the Chrysler Corporation and featuring decorative elements inspired by automobile parts, held the distinction of being the world's tallest when it opened in 1930. Located on Lexington Avenue between 42nd and 43rd Streets, the tower features direct access to Grand Central Terminal. For generations, the Chrysler Building has been a fixture in popular culture, with appearances in numerous movies, including "Avengers," "Spiderman," "Men in Black 3," "Sorcerer's Apprentice," and "The Wiz."
The transformation will also include the restoration of the building's façade and polishing and renewal of its distinctive crown. Within the building, Tishman Speyer will modernize the mechanical, elevator, electrical, and air handling systems, and optimize the cooling towers for energy efficiency. The investment aims to reposition the Chrysler Building as Manhattan's most distinctive new boutique office building, pairing one of the world's most iconic addresses with a workplace experience designed for today's customers.
The Public Sector Pension Investment Board (PSP Investments), a leading global investor, is partnering with Tishman Speyer and other institutional investors to support the repositioning of one of New York City's most iconic office buildings. The transaction reflects PSP Investments' deliberate investment strategy in prime office assets, acquiring high-quality assets in the strongest locations and executing a clear business plan alongside a proven global partner.
The Chrysler Building, now under the stewardship of Tishman Speyer, will continue to inspire and remain a world-class workplace for future generations. The building's 61st floor, renowned for its massive eagle gargoyles modeled after the hood ornament on the 1929 Plymouth, will be reserved for an incomparable indoor-outdoor amenity program featuring an upscale lounge with outdoor access, premium food and beverage offerings, and gathering space. A second amenity program, featuring fitness, wellness, and meeting spaces, will be situated within the Chrysler Building's underground arcade.
The transformation will also include the prebuilding of 75 percent of the current and upcoming vacancies with thoughtfully designed, ready-to-occupy suites, allowing customers, particularly smaller users, to move in quickly and demonstrate to the market what it will be like to work at the Chrysler Building, which was built for the future and will once again become a vibrant, market-leading workspace.
The Chrysler Building, now under the stewardship of Tishman Speyer, will continue to inspire and remain a world-class workplace for future generations. The building's 61st floor, renowned for its massive eagle gargoyles modeled after the hood ornament on the 1929 Plymouth, will be reserved for an incomparable indoor-outdoor amenity program featuring an upscale lounge with outdoor access, premium food and beverage offerings, and gathering space. A second amenity program, featuring fitness, wellness, and meeting spaces, will be situated within the Chrysler Building's underground arcade.
The transformation will also include the prebuilding of 75 percent of the current and upcoming vacancies with thoughtfully designed, ready-to-occupy suites, allowing customers, particularly smaller users, to move in quickly and demonstrate to the market what it will be like to work at the Chrysler Building, which was built for the future and will once again become a vibrant, market-leading workspace.