Rithm Capital’s prospective purchase of Paramount Group is a stroke of faith in the strength of the Manhattan office market, which is where most of Paramount’s holdings are concentrated.

The deal would give Rithm, a major force in commercial and residential credit and asset management, a significant, 13.1 million square-feet, bricks-and-mortar stake for the first time.

Several major players including SL Green and Blackstone reportedly made offers as well after Paramount quietly announced in April it was seeking “strategic alternatives.” 6

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But if Paramount shareholders approve the sale, the new owners might shuffle some of the deck in Paramount’s 11-building Manhattan portfolio, sources told Realty Check. (Paramount also has five properties in San Francisco which aren’t doing as

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