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September 2017

September 2017 » Market Analysis » NYC Buildings For Sale

September 2017 New York Buildings For Sale

New York Buildings For Sale:

Thor Equities has put the two-story, 50,000-square-foot retail condominium at 88 Greenwich Street, that is home to the 9/11 Tribute Center up for sale for $52 million.

New York REIT is marketing 1440 Broadway, a 749,000-square-foot building. The real estate investment trust, which is in the process of selling its 4.4 million-square-foot portfolio as part of the comp. The Broadway property is expected to get $775 per square foot or $580 million. NYRT purchased the building in 2013 from Rockpoint Group and Monday Properties, paying $530 million.

The majority owner of the Plaza Hotel is looking to sell the landmark property, and experts believe it could get $560 million. Sahara Group is the India-based conglomerate that owns the majority share in the famed hotel. The property is selling for $2 million a room, a figure that’s only been exceeded by the Baccarat Hotel when it sold for $230 million in 2015 and when the Plaza itself traded in 2012. That would put the Plaza in the price range of $560 million or more.

Tishman Speyer and Cogswell Realty are selling 183 Madison Avenue, a 274,000-square-foot Art Deco building at East 34th Street and Madison Avenue. The property is valued at around $255 million.

Kensico Properties has put the leasehold for its 23-story Midtown office building at 509 Madison Avenue on the market. The 165,000-square-foot Art Deco property at the southeast corner of East 53rd Street for sale. The leasehold for the property, built in 1929, could sell for about $1,000 per square foot, or $165 million.

Thor Equities and General Growth Properties have put their office-and-retail building at 685 Fifth Avenue on the market for $500 million. First GGP was looking to sell its 50% stake, and now Thor has decided to put its stake on the market too. Thor bought the 20-story, 140,000-square-foot property from Gucci in 2014 for $460 million and then brought in GGP.

New York Buildings Sold:

Skyline Developers just purchased a vacant site next to the Peninsula Hotel for $83 million. The company, the New York subsidiary of Garden Homes Development, purchased 12-18 West 55th Street from Cornerstone Properties. The property could hold up to 150,000-square-feet of mixed-use construction.

The storied Hotel Wales on the Upper East Side is about to fall victim to the luxury condo craze. The 89-room, 10-story property sold to DLJ Real Estate Capital for $35 million.

Trinity Real Estate paid $580 million for Tishman Speyer’s leasehold on 375 Hudson Street. The 19-story property includes 1.1 million rentable square feet of office space and is currently 100 percent leased.

The Office of Thierry Despont sold a five-story mixed-use building in Tribeca for $18 million. The 42-foot wide property at 70-72 Laight Street was listed in 2013 for $24 million and marketed as a potential condo conversion. The 12,500-square-foot building, between Washington and Greenwich streets, includes four residential and two commercial units. Ascott Residence Trust paid $106 million for the Hilton DoubleTree hotel at 341 West 36th Street. Oversea-Chinese Banking Corporation is funding the deal with a $65.4 million loan. Magna Hospitality Group, which paid $83 million to acquire the property in 2012. The 81,000-square-foot, 25-story building with 224 rooms was completed in 2007.

Unizo Holdings Company is in talks to buy the 27-story office building at 685 Third Avenue for around $450 million. Unizo is negotiating with TH Real Estate, the real estate arm of TIAA-CREF, for around $700 per square foot. That works out to a purchase price of approximately $450 million for the 646,422-square-foot tower.

New York REIT has sold an office condo at 50 Varick Street for $135 million. Est4te Four purchased the 150,000-square-foot unit, which spans the fifth through seventh floors of the building. Est4teFour secured $77.8 million in financing.

Trinity Real Estate bought Tishman Speyer’s leasehold on the office building at 375 Hudson Street for an undisclosed amount. The church, which already owns the land under the building, funded the acquisition with a $400 million, 10-year fixed-rate loan.

Kamber Management agreed to buy three Upper West Side parking garages from an unnamed European trust for $50 million. The garages at 80, 100-120 and 220-240 Riverside Boulevard are part of the Trump Place-Riverside South development. The seller paid $44.5 million for the properties in 2010.

The U.S.-arm of Venezuela’s biggest bank has sold a Midtown East landmark for $30 million. Mercantil Bank sold 11 East 51st Street, aka the John Pierce Residence, to Soho China.

JJ Operating bought a two-story commercial building in Chelsea for $107 million. The family-led firm purchased 258-278 Eighth Avenue, a 40,000-square-foot commercial building at 24th Street and Eighth Avenue. The John Q Aymar Corporation, a company affiliated with Midboro Management, was the building’s seller.

Gaw Capital Partner is talks to buy the Standard Hotel and would pay $340 million for the property, 15% less than what the hotel was in contract to sell for in 2014. In 2014, hotel management company Standard International went into contract to buy the hotel for $400 million from Dune Capital Management and Greenfield Partners but that deal never closed.

Beekman Real Estate Investment Management bought a Tribeca commercial building for $21 million or $1,006 per square foot to buy the five-story, 20,800-square-foot building at 83-85 Worth Street from Vimar Realty Corporation.

Fortress Investment Group and L&L Holding have purchased the hotel portion of 1568 Broadway for $200 million. JPMorgan Chase provided $75 million for the purchase. The 47-story building houses a Double Tree Hotel and the historic Palace Theater, the latter of which is still owned by the Nederlander Organization. Maefield acquired the leasehold stake in the hotel in 2015, paying Sunstone Hotel Investors $540 million. The deal works out to $1.15 million per key.

Capstone Equities with Highgate bought the Nyma Hotel in Koreatown for $52 million. Capstone provided the majority of the equity for the purchase of the 17-story, 171-key hotel at 6-8 West 32nd Street. Hotel investor Highgate will serve as the new manager and hold a small stake. The deal came out to about $650 per square foot and $304,000 per key.

Normandy Real Estate Partners is in contract to acquire ABC Carpet & Home’s headquarters in the Flatiron District for around $130 million. Within the deal, ABC would continue to own and lease back a portion of the six-story, 76,400-square-foot building, which it has owned and fully occupied since 1981. ABC would still occupy the ground floor, basement and some office space. Normandy plans to lease out to the remainder of the office space to new tenants. The building consists of a 20,600-square-foot retail condo and a 55,800-square-foot condo for office and manufacturing space.
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