Ken Griffin’s Citadel is cutting ties with Sterling Bay, the developer that it partnered with on its new Miami headquarters.
(Bloomberg) — Ken Griffin’s Citadel is cutting ties with Sterling Bay, the developer that it partnered with on its new Miami headquarters.
Citadel will handle some of the work related to the $1 billion waterfront office tower in Miami’s Brickell neighborhood itself, while searching for another partner on the project, Zia Ahmed, a spokesman for Citadel, said in a statement.
The building, which could end up one of the tallest in the city, with a marina and a helipad, was a key project for Chicago-based Sterling Bay.
“As Citadel’s internal workplace team has grown, so have the firm’s capabilities to directly support the growth and development of its real estate portfolio,” Ahmed said. Sterling Bay was “instrumental in selecting and procuring critical real estate investments that have expanded Citadel’s Miami presence in Brickell and in Palm Beach.”
Sterling Bay said it “makes sense” for Citadel to bring more of its development process in-house. The split was first reported by Crain’s Chicago Business.
“Moving forward, Sterling Bay will turn its full-time attention, resources, and personnel to its growing pipeline of national projects,” Sterling Bay spokesperson Julie Goudie said in a statement. “We look forward to the opportunity to work with Citadel in the future.”
Citadel announced its new Miami building last year, as part of Griffin’s decision to relocate the headquarters of his firm away from Chicago. The billionaire is getting the chance to make his mark on the waterfront with a spot for the tower at 1201 Brickell Bay Drive.
Griffin’s Citadel has also been mapping out plans for a massive tower in Manhattan. The firm has been working with developers Vornado Realty Trust and Rudin Management Co. for the new building on Park Avenue.
For Citadel, the past few years have delivered record-breaking profits for parts of its businesses, fueling expansion. It has also boosted Griffin’s personal wealth, which is estimated at nearly $35 billion, according to the Bloomberg Billionaires Index.
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