NYC Buildings For Sale
The ground lease for the Time Hotel, the 192-room boutique Theater District property formerly owned by hotelier Vikram Chatwal, is to hit the foreclosure auction block. Discussions between Hampshire Hotels and special servicer have collapsed.The owner of three adjacent parcels at the corner of 42nd Street and Ninth Avenue near Times Square has put the site on the market, expecting offers of about $2 million per year in triple net rent, meaning the tenant pays taxes and other expenses.
Millennium Partners, a developer of luxury mixed-use properties, is seeking a buyer for the 335,000-square foot Ritz-Carlton Hotel at 2 West Street, on the southern tip of Battery Park City. The 298-room property was built in 2001. The property’s asking price was not available.
Boston Properties has agreed to sell its 45 percent stake in the ground lease for the 48-story Times Square Tower for $684 million. The real estate investment trust will continue to handle property and leasing management at the 1.2 million-square-foot tower at 7 Times Square. It plans to form a joint venture with the buyer.
Port Authority officials plan to review a “secret deal” made decades ago to sell the rights to the “World Trade Center” name to a nonprofit for just $10, an agreement that the authority now wants out of. The deal also requires the authority to give the nonprofit group World Trade Centers Association free office space, which is valued at $500,000 in the new, 1,776-foot high 1 World Trade Center tower, for use of the name.
Sotheby’s has decided to sell its 10-story Manhattan headquarters at 1334 York Avenue between 71st and 72nd streets, in an effort to give back more cash to shareholders. The art auctioneer has received first-round bids, some from pharmaceutical companies. A few bidders plan to turn it into a medical facility. Recently, Related Companies bid on the 500,000-square-foot building with a proposal that tried to include Sotheby’s in its Hudson Yards project.
New York Buildings sold
Brookfield Office Properties’ acquisition of the New York Mercantile Exchange Building from Chicago-based CME is finished. Brookfield just signed a contract to pay $200 million, or roughly $385 per square foot, for the 16-story office building at One North End Avenue.American Realty Capital New York Recovery, a real estate investment trust, has paid ARK Real Estate $148.5 million for the newly-minted Viceroy Hotel at 120 West 57th Street. The purchase price is around $615,000 per key for the 240-room property.
Blackstone Real Estate Advisors has reached an agreement with Hersha Hospitality Trust to acquire 16 U.S. hotels for $217 million. The portfolio of hotel properties located primarily in the northeastern U.S., are valued at around $125,000 per room in the deal, which is to close in the first quarter of 2014.
GLL Real Estate Partners has paid Centurion Real Estate Partners $53 million for a parking garage in Battery Park City. Goldman Sachs has a long-term lease on the 67,000-square-foot garage. The deal closed recently. The 369-space garage is a block from the 43-story Goldman Sachs headquarters at 200 West Street. It’s located inside a 320-unit condominium tower at 1 River Terrace known as Riverhouse.
Silverstone Property Group and RWN Real Estate Partners have just paid $71.5 million for seven adjacent properties at 33rd Street and Third Avenue, their second big purchase in Kips Bay.
A potential restaurant space at 781 Eighth Avenue has sold for $6.9 million, a 9,000-square-foot, four-story building between 48th and 49th streets. City Knickerbocker is moving to a new location on 665 11th Avenue.
JCPenney’s office building at 200 Lafayette Street, owned by a joint venture, will be purchased by a real estate investment trust for just over $150 million in cash.
A five-story mixed-use building in Soho has changed hands for $24.75 million. The cast-iron property at 351 Canal Street will be delivered completely vacant. About 85 percent of the tenants had been on a month-to-month lease or had termination clauses that were effective upon the potential sale of the building. Tunnel Holdings LLC owned it for 70 years.
Jeff Sutton is in contract to buy a three-building site at 530 Broadway from Joseph Sitt for $327 million.
Tribeca Associates and Meadow Partners purchased the long-term leasehold on the 30-story Bush Tower in Times Square from Marwan Dalloul’s American Properties. The landmarked 210,000-square-foot building at 130 West 42nd Street is more than 80 percent leased. The deal was structured as an upfront payment, plus rent payments over time.
