Paramount Group files for an IPO that could raise $2.5 billion; may be the largest REIT IPO ever

Paramount Group, a REIT owning 12 premier office buildings in New York, Washington, DC and San Francisco, filed on Wednesday with the SEC to raise up to $100 million in an initial public offering, although the deal size is likely just a placeholder. We estimate the company could raise as much as $2.5 billion, which would make it the largest REIT IPO ever. 

The New York, NY-based company, which was founded in 1978 and booked $374 million in revenue for the 12 months ended June 30, 2014, plans to list on the NYSE under the symbol PGRE. Paramount Group initially filed confidentially on May 14, 2014. BofA Merrill Lynch, Morgan Stanley and Wells Fargo Securities are the joint bookrunners on the deal. No pricing terms were disclosed.