Buildings For Sale
Ashkenazy Acquisitions and Deka Immobilien put the New York Marriott East Side hotel on the market 17 months after buying it. The sellers are unlikely to get more than the $270 million they paid for the 525 Lexington Avenue property in 2015. The landmarked building spans 319,319 square feet and includes 655 hotel rooms and the 525LEX restaurant.Jona Rechnitz, the developer at the forefront of a probe into corruption at the New York Police Department, is looking to sell a Midtown development site for $26 million. JSR Capital bought the property at 238 Madison Avenue in 2013 for $12 million. The current owner had planned to build either a condominium or hotel on the site at East 37th and 38th streets. The site has a total of 33,750 buildable square feet. Rechnitz is seeking $26 million, or $770 per buildable square foot, for the building.
400 Madison Avenue a 190,000-square-foot Madison Avenue office building in Midtown the 22-story building at The building last traded in 2012 for $139.4 million, or $745 per square foot. The company bought the office-and-retail building in 2012 for $139.4 million. The floor plates are about 8,500 square feet apiece. The building is 89% occupied. Asking rents in the Grand Central submarket averaged $75 per square foot during the second quarter of the year.
Cornerstone Real Estate Advisers is looking to sell the 150,000-square-foot office-and-retail building at 551 Madison Avenue. The asking price is not known, but sources say they could get north of $180 million.
60 Guilders and the Carlyle Group can start selling 21 units at the 11-story building at 20 West 33rd Street and its neighbor at 18 West 33rd Street with a total projected sellout of $206.6 million, or about $9.8 million per unit. Chisholm’s firm partnered with private equity giant the Carlyle Group last year to buy the 153,000-square-foot office property from Midtown-based Kamber Management Company for $111 million.
The Port Authority of New York and New Jersey plans to sell One World Trade Center for as much as $5 billion, the highest price ever paid for an office building in the U.S. But. Roughly one-third of the $3.8 billion tower remains empty, and the tower has brought in modest revenue by only taking in $13 million last year. As part of the agency’s efforts to shed its real estate assets, the Port Authority plans to sell One World Trade Center to the highest bidder.
Thor Equities is in contract to buy the James New York hotel in Soho for $70 million, or $614,000 per key. PGIM Real Estate is selling the 114-key, five-star hotel at a loss. Prudential acquired the property in 2013 for $83.4 million from Brack Capital Real Estate which developed it in 2010. The 20-story hotel, located at 27 Grand Street. Thor is seeking $5 million to $10 million to flip the contract to another firm that would ultimately close on the purchase.
Buildings Sold
Shareholders voted to approve SBE Entertainment Group’s acquisition of Morgans Hotel Group, a deal valued at around $800 million. SBE, a Los Angeles-based hospitality group will acquire Morgans’ 20-hotel portfolio, which includes the Hudson Hotel on Columbus Circle.A 151-bed nursing home owned by the Daughters of Jacob traded hands for $17.5 million. Landlord Daryl Hagler acquired the building at 1160 Teller Avenue in the Bronx and will add the 214,000-square-foot center to the portfolio of nursing homes he operates throughout the city. Hagler also received a $46 million acquisition loan.
In the East Village, Barrett Design and Development picked up a development site at 3 East 3rd Street for $11.5 million. The 3,000-square-foot building was last used as short-term rental for students and interns, but was delivered vacant to the new owner. Barrett has already laid out plans to redevelop the site. Plans were submitted for a new seven-story, five-unit building, which will have a mix of full-floor apartments, a duplex and retail space on the ground floor.
ABS Partners Real Estate is in contract to buy the 13-story, roughly 65,000-square-foot office-and-retail building at 145-147 East 57th Street for $63 million. The seller, Grup`o Victor Malzoni Investimentos, bought it for $34 million in 2010 and has spent $10 million renovating it. The building is about 70% occupied, and four full floors near the top are vacant. The deal is slated to close for $970 per square foot.
The Durst Organization closed on Bruce Eichner’s East Harlem development site for $90.95 million, and plans on a new development plan at 1800 Park Avenue. Eichner bought the site in 2013 for $66 million from Vornado Realty Trust and planned to build a 32-story mixed-use building with 682 rental apartments. Earlier this year, the Durst Organization bought close to $100 million in defaulted debt on the property and moved to foreclose on it. It ultimately abandoned those plans, and instead worked out a deal with Eichner to buy the site from him.
The U.S. real estate arm of Swiss pension fund AFIAA is in contract to pay $150 million for a 12-story Chelsea office building at 125 West 25th Street. The company tacked on an extra floor, growing to roughly 52,600 square feet total. The all-cash deal is slated to close for north of $1,000 per square foot.
DSA Property Group is in contract to buy a 15-story dormitory building in the Financial District from Pace University for $51 million. The 75,000-square-foot property is located at 106 Fulton Street, between Dutch and William streets. Pace converted the building into dorms in 1999, also has a retail tenant on the ground floor. 292 Madison Avenue is in contract to Vanbarton Group for $180 million. The 203,000-square-foot Art Deco tower sits at the corner of East 41st Street.
