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September 2012

September 2012 » Market Analysis » NYC Buildings For Sale

September 2012 New York Buildings For Sale


NYC Buildings For Sale

A Coney Island development site ready for a 22-story building is hitting the market for $14 million.

The property is located at 271 Seabreeze Avenue, near the Atlantic Ocean and adjacent to the Coney Island boardwalk and Seaside Park. It is zoned for residential, hotel or senior living use, and plans drawn up by owners American Development Group would sustain up to 153 apartments, or 183 extended-stay hotel rooms, and 102 parking spaces.

A troubled 12-story commercial loft building Noho is scheduled for auction next month, after CW Capital foreclosed on the mortgage and sold the debt to Lincoln Property Co. The new debt holder is to auction off the $71.3 million loan on Sept. 21, but would likely take control of the property unless a new bidder emerges at the sale. Lincoln acquired the loan in May, after CW foreclosed on the previous owners, Argo Corp. The borrowers defaulted on a $53 million securitized loan that was originally made in 2007 by J.P. Morgan Chase.

The L-shaped lot owned by the Imperatore family and fronts 11th Avenue and spans the entire block between West 36th and West 37th streets is for Sale. A development of 800,000- to 1 million square feet could be built on the site.

New York Buildings sold

L+M Development Partners, the developer behind Williamsburg’s Northside Piers, has purchased a 40,000-square-foot warehouse just across the street from the 450-unit residential project.

The development firm, which partnered with Toll Brothers, City Living and RD Management on Northside Piers, paid $19.98 million for the commercially zoned property at 149 Kent Avenue on the corner of North 5th Street.

A UBS-controlled REIT has purchased the land underneath its Sports Illustrated Building for $279 million but plans to keep the building it owns on the site under a long-term operating lease. The seller purchased an interest in the land, at 135 West 50th Street, for $56 million in 2010. UBS has owned the 800,000-square-foot building since 2006, when it bought it for $332 million from Murray Hill Properties. Murray Hill had purchased it two years earlier for $143 million, and negotiated an extension of the lease through 2106.

The Art & Design building, a showroom and office space at 1059 Third Avenue, at 63rd Street, has sold for $31.5 million.

Hospitality firm Riu Hotels & Resorts has paid residential owner and operator Glenwood Management $111 million for a large development site on the West Side. The five parcels on the west side of Eighth Avenue, between 46th and 47th streets, including addresses 743-763 Eighth Avenue, would allow a building between 260,000 square feet and 320,000 square feet.

Vornado Realty Trust’s purchased 9,200 square feet of selling space at 501 Broadway, between Spring and Broome streets, for $31 million. The space also has frontage at 72 Mercer Street and is occupied by a retail clothing store. The sale works out to about $3,600 per square-foot, but only 3,800 of the space’s footage is ground-level, much of the rest is located in a selling basement.

Extell is selling its interest in a prospective hotel development site at 30 West 46th Street to Cambria Suites, an offshoot of the Choice Hotels brand that had contributed equity to the project. The deal for the site, on which Extell had once planned a 194-room, 20-story hotel, is currently in contract. Cambria may pay up to $30 million for Extell’s stake in the vacant site.

Savanna confirms $42M acquisition of 14,000-square-foot retail space inside Jean Nouvel-designed 40 Mercer Street condo.

Strategic Hotels & Resorts purchased the former Jumeirah Essex House at 160 Central Park South for the price of $362.3 million and would flag the hotel with Manhattan’s first JW Marriott. Marriott signed a 50-year management agreement to operate the property, to be named the JW Marriott Essex House, and guaranteed a net operating income of as much as $21.5 million annually for eight years. The deal was financed with a $190 million loan from Bank of America.

A billionaire South America playboy is in contract to purchase 5 East 59th Street. Both the leasehold and the fee for the property, held by TriState Equities and a Greek individual respectively, traded in the deal, which was valued at $42 million.

Two stories on Madison Avenue cost Friedland Properties $140 million. The 20,000-square-foot Bank of New York Mellon building on the Upper East Side is in contract for more than $7,000-per-square-foot to Friedland. The bank’s building, at 706 Madison Avenue, has 88 feet of frontage on Madison Avenue and 80 feet along East 63rd Street. Italian design company Domenico Vacca has a short-term lease for some of the ground-floor.
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