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April 2014

April 2014 » Market Analysis » NYC Buildings For Sale

April 2014 New York Buildings For Sale


NYC Buildings For Sale

New York Foundling is asking $47.5 million for a four-story Greenwich Village building it bought for $3 million about 12 years ago. The 14,540-square-foot property at 27 Christopher Street, near Waverly Place, has served as a nursing school and parochial school. The space currently houses the Vincent J. Fontana Center for Child Protection, an organization that offers training to child-care workers.

A 20,000-square-foot, multi-level retail space at the base of building at 95 Madison Avenue is for sale.

Hiro Real Estate and Goldman Sachs’ landmarked tower at 150 East 42nd Street, also known as the Socony-Mobil Building, is for sale and is asking $900 million for the long-term leasehold. Mount Sinai Medical Center recently signed a lease for 450,000 square feet at the base of the building. The hospital is slated to occupy the bottom five floors as well as floors nine through 11. Asking rents for office space in Midtown East is in the $40s and $50s per square foot. Mobil Oil was a long-time tenant in the 1.8 million-square-foot tower.

Gary Barnett’s Extell Development is in advanced discussions to sell the long-term ground leases on four of the portfolio’s office buildings. The Kaufman Organization is the buyer, and the deal is valued at north of $150 million.

Harbor Group International is in contract to sell two Garment District buildings for a total of $268 million to Isaac Chetrit.

A pair of developers who picked up a distressed lot in the Financial District a few years back for $57.5 million is now asking five times that amount for the property.

The American Bible Society has placed its 180,000-square-foot Columbus Circle headquarters on the market. The 12-story property at 1865 Broadway at West 61st Street, where the group has based its operations for 48 years, is expected to sell for $300 million or more. ABS then plans to lease a replacement office space or purchase another building.



New York Buildings sold

Harbor Group International is in contract to buy the 361,000-square-foot office building One Exchange Plaza in the Financial District from Broad Street Development.

The retail condominium at 150 East 72nd Street conversion has been sold for around $20 million. RFR Realty picked up the retail space, which includes a 4,000-square-foot ground floor space, with an additional 900 square feet basement.

Pan-Am Equities paid $48.2 million for two commercial condominiums on the Upper East Side. The commercial condos, located at 140 East 63rd Street near Lexington Avenue, total about 45,000 square feet of space. They are currently leased to Equinox and SoulCycle, which have about eight years left on their leases.

Empire Capital Holdings won a public auction of a mixed-used downtown building that was formerly home to a Chinatown gambling den. The winning bid was $20.2 million.

Emmes Asset Management is in contract to buy a 480,000-square-foot office building at 160 Water Street for $160 million, in an off-market deal.

Related Companies purchased a six-parcel development site in Tribeca from Ponte Equities, for $115.3 million.

Starwood Capital is in contract to buy a 34th Street retail building with significant future development potential for $250 million.

The National Jewelry Exchange Building, a 78,230-square-foot office and retail tower at 2 West 47th Street, has sold for $56.46 million. The building last sold for $26.33 million in 2007.

L&L Holding Company and Prudential are going to buy one of the few Hudson Yards-area properties that Related Companies is selling. The partnership is paying $160 million for the 200,000-square-foot office site at 511-541 West 25th Street, near the High Line in Chelsea. Related bought it two years ago for $92 million.

Book publishing company Scholastic has closed on its purchase of its U.S. headquarters at 555 Broadway for $255 million.

A partnership between a Safra family-controlled entity and Sitt Asset Management purchased 145 Spring Street, a Soho mixed-use building with ground-floor retail, for $26 million. The 15,421-square-foot eight-story building was asking $34 million. The seller was Spanish retailer, Custo Barcelona, who bought the property in 2009 for $18 million.

An executive of a real estate firm Walter & Samuels paid $20.25 million in an off-market purchase of an Upper West Side retail condominium unit.

Developer Fortuna Realty Group bought two Midtown West buildings totaling 30,000 square feet for $18.3 million in an off-market deal.

The sale of a 55,000-square-foot building at 223-225 Bowery has closed. The property was in contract since 2012, was purchased for more than $30 million by the Omnia Group and North Wind Group. The pair plan on bringing a 180-room Ace Hotel, and likely a small number of residential condominiums, to the property following a total renovation.

SL Green agreed to pay nearly $800 million for Ivanhoe Camrbidge’s stake in 388-390 Greenwich Street, where Citigroup’s headquarters are located. SlLGreen will put down $783 million for a 49.4 percent stake in the 2.6 million-square-foot office building. Following the purchase, SL Green will hold full ownership of the building, for which the consolidated investment is valued at $1.58 billion. The lease extension was one of the largest lease transactions ever executed in New York.

The Chetrit Group snapped up two adjacent properties across the street from Madison Square Garden in the heart of the Penn Plaza commercial district in January for $31.5 million and recently won approval from the city to demolish them.

An affiliate of Chanel SA bought an Upper East Side retail co-op for $123.8 million, making the deal one of the all-time priciest for a single retail unit. Chanel Fine Jewelry currently occupies the 3,950-square-foot space at 733-739 Madison Avenue, near 64th Street. Chanel agreed to pay the building’s co-op board $18,000 per month in maintenance fees. The board gained roughly $4 million in transaction fees.

RXR Realty is in contract to acquire a 786,000-square-foot office building at 61 Broadway in the Financial District for $330 million. The majority of the leases are expiring soon, making way for the prospective new landlord to renovate the site. RXR is looking to attract creative and tech firms.

The Bauhouse Group plans to turn a High Line-adjacent commercial building into a residential property and a gut-renovation is already underway. Bauhouse closed on the 35,000-square-foot, six-story property at 515 West 29th Street in September, and plans to construct a rooftop addition that will give the building an additional 40,000 square feet. Bauhouse paid $24.4 million for the existing building, but shelled out another $6 million in the last of three air rights deals, enabling the additional square footage.

The Howard Hughes Corporation has entered contract for land just south of its planned 50-story tower at South Street Seaport’s Pier 17. The 8,128-square-foot parcel at 80 South Street has already received the approvals from the City Planning Commission to be transformed into a 300,000-square-foot mixed-use tower. Queens-based Cord Meyer Development has opted to sell the proposal and site itself to Howard Hughes. The tower would hold a residential component, a hotel and a community space.
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