Rithm Capital Corp. completed its acquisition of Paramount Group, Inc. on December 19, 2025, paying $1.6 billion in cash, or $6.60 per share. The deal adds 13 owned and 4 managed Class A office assets—over 13.1 million square feet in New York City and San Francisco—to Rithm’s integrated asset‑management platform.
Paramount’s Chairman, CEO and President Albert Behler has departed, and the company will be rebranded as part of its integration into Rithm. Rithm’s owner‑operator model will be applied to the Paramount properties to enhance tenant experience and drive long‑term value.
The acquisition expands Rithm’s high‑quality office holdings and positions the combined entity to benefit from the flight‑to‑quality trend in the two gateway markets. Rithm’s GreenBarn team and broader platform will be leveraged to improve operations, amenities, and asset performance.
Paramount reported a Q3 2025 net loss of $28.9 million ($0.13 per share) largely driven by $9.0 million in transaction costs. Core FFO fell to $31.5 million ($0.14 per share) from $40.5 million in Q3 2024, and same‑store NOI declined 12% YoY. Rithm’s Q3 2025 earnings of $0.54 per share beat expectations by $0.02, driven by strong results from its Newrez and Genesis Capital segments. Total revenue of $1.11 billion far exceeded prior estimates, reflecting robust performance across its diversified businesses.
Investors priced the acquisition at $6.60 per share, and the market has reflected confidence in Rithm’s growth strategy. The deal is expected to generate operational synergies and capital deployment opportunities, while Rithm’s strong liquidity position of $2.2 billion supports a smooth integration.
With the acquisition, Rithm is poised to capitalize on the recovering office market, leveraging its owner‑operator model and diversified platform to create long‑term value for stakeholders.
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