AIG to Stick With Brick-and-Mortar Offices

The Real Deal, a New York commercial real estate publication, reported in May 2019 that AIG was looking to move to the 1271 Avenue of the Americas building, and sell the 175 Water St. building for $275 million.

Metro Loft Developers, a company that turns New York office buildings into apartments, bought the 175 Water St. building from a real estate arm of AIG in October for $270 million, according to New York City property transfer records.

The Thinking

AIG is leasing space in brick-and-mortar buildings as some analysts are wondering what concerns about the COVID-19 pandemic will do to the concept of working in offices.

Brian Duperreault, AIG’s chief executive officer, said in a comment included in the headquarters move announcement that New York City has played an important part in AIG’s history.

“We are proud to be headquartered in this unique and resilient city,” Duperreault said “Our new midtown headquarters building is in close proximity to many of our clients, distribution partners and other stakeholders. We take pride in our role as a responsible corporate citizen and remain committed to doing our part to help strengthen our New York City and Jersey City communities.”

Peter Zaffino, AIG’s president, said in another comment that the deals are part of an effort to position AIG for the future.

“Our people are our most important asset, and we remain committed to providing a safe and productive work environment while incorporating key learnings that have emerged while working remotely,” Zaffino said.

— Read Guardian Life Finds Buyers for Headquarters Building, on ThinkAdvisor.

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