Newmark Knight Frank (NKF) has been named by Cohen Brothers Realty as the exclusive leasing agent for the 420,000 s/f 623 Fifth Avenue, which occupies the entire block of Fifth Avenue between 49th and 50th Streets.

The leasing team will be led by NKF executive managing director Robert B. Emden; executive managing director Mathew T. Leon; and managing director David L. Emden, along with associate directors Josh Berg and Aaron Kaufman. The 36-floor limestone tower, built in 1990, is directly across from Rockefeller Center.

The building features a 95,000 s/f tower block accessible, if desired, by a separate dedicated entrance and its own exclusive dual roof deck gardens with 360-degree views of all of Manhattan.

Full and partial floors — all with dramatic city views— are available among some 200,000 s/f of office space available for immediate lease. All floors have high ceilings, floor-to-ceiling windows, low convectors, extended HVAC hours and column-free floor plates. BR Design, in concert with Cohen Brothers Realty and Newmark Knight Frank, is developing high-end, pre-built suites along with turn-key full and partial floor office options for prospective tenants.

“623 Fifth Avenue is the address of choice for the most discriminating companies,” said Emden. “We are excited to be offering such a fantastic, high-end property in this prime Midtown location.”

Added Leon, “Offering awesome light, views and infrastructure on an efficient column free floor plate, 623 offers prospective tenants the ability to redefine their future office environment.”

The post Cohen taps NKF to lease 623 Fifth Ave. appeared first on Real Estate Weekly.

Global real estate investment management firm Heitman has acquired a 17-building medical office portfolio known as the PHT portfolio.

The 1.4 million-square-foot portfolio was sold by Bentall Kennedy in a deal brokered by JLL Capital Markets, Healthcare team.

“The PHT Portfolio is a high-quality, well-diversified portfolio of premier properties with near-100 percent occupancy and a collective tenancy of highly-rated, market-leading health systems,” said Brian Pieracci, Heitman managing director.
“The Class-A portfolio exhibits nearly all of the qualities that we look for when acquiring core medical office properties for our portfolio.”

Bentall Kennedy assembled the portfolio over the last 12 years through new development and acquisition. The properties are new Class A medical office buildings located on the campuses of highly rated, market-leading and academic health systems in seven states. The buildings are 96 percent occupied and located in desirable U.S. markets.

“This portfolio attracted a high level of interest from a roster of well-known private and public healthcare investors, as well as many institutional core funds and foreign investors,” said Mindy Berman, managing director, JLL Capital Markets.
“An investment of this caliber is further evidence of good supply of product for new investment in healthcare. As outpatient care in the U.S. expands and investment appetite supports the growth, large-scale opportunities like this will continue.”

Sales of medical office buildings in 2017 rose to a record level of $9.5 billion, according to JLL experts, past the previous high-water mark of $9 billion in 2015, and substantially higher than the typical annual volume of $5 billion.
The PHT portfolio is one of the largest medical office asset sales to have occurred. Investors’ appetites are being fed by an industry that has been steadily migrating to lower cost outpatient settings. This is causing a spike in outpatient visits, which are expected to increase by 20 percent over the next decade, and now constitute more hospital revenue than inpatient care for the first time in history.

Annual healthcare spending is projected to grow by more than 5 percent a year, most of which is earmarked for ambulatory settings.

“Healthcare real estate is emerging from the shadows of alternative sectors and is increasingly being viewed as a staple asset,” said Jonathan Geanakos, president, JLL Capital Markets, Americas.

“Interest in medical office is at an all-time high given the robust capital available for real estate investment, especially from core investors and foreign capital seeking durable income from stable product offering attractive yields.”

The post Heitman in biggest ever medical buy appeared first on Real Estate Weekly.

The Hotel Association of New York City announced the election this week of Fred Grapstein, Executive Vice President of Vornado Realty Trust’s Hospitality Group, as its new chairman.

Grapstein, a board member of the Hotel Association for more than five years and a longtime member of the Hospitality Council of New York, brings a wealth of financial and operating experience to the role.

At Vornado he is responsible for over $1.5 billion of hotel assets including 2,500 rooms and 750,000 square feet of commercial/retail space.

Grapstein is a regular speaker at hotel conferences throughout the country and is outspoken on the impacts of Airbnb. He is also a member of the Hospitality Asset Managers Association.

Previously, Grapstein was with Merrill Lynch as a Vice President in their Real Estate Group, and with Deloitte in their emerging business consulting group.

He is a CPA and holds an MBA from New York University.

•••

Greystone announced Anthony Alicea has joined the company as Head of Production for the Portfolio Lending Group, reporting to Mark R. Jarrell, who leads the Group.

Alicea will oversee production for the firm’s bridge and mezzanine lending products that complement Greystone’s FHA, Fannie Mae, Freddie Mac and CMBS lending products.

Alicea brings a wealth of experience in commercial real estate finance. Throughout his 20-year career, he has led CMBS and securitization projects for Arthur Andersen’s real estate consultancy, managed CMBS production at Nomura Credit & Capital, Inc., and originated Agency loans as well as CDO activity at Centerline Capital Group (now Hunt Mortgage).
Alicea also previously held multifamily finance roles at Pensam Capital LLC and World Class Capital Group.

•••

CPEX Real Estate has promoted George Danut to director of retail leasing.

Since joining the team at the end of 2012, Danut has assisted in the lease of over 60 retail spaces totaling more than 375,000 s/f with an aggregate lease value of over $230 million.

This includes lease agreements with such notable tenants as Bed Bath & Beyond, Harbor Freight, LePort Schools, Gymboree Play & Music, Bar Method, and Benefit Cosmetics.

Prior to his current role, Danut oversaw CPEX’s research initiatives to provide market data and published reports, along with a variety of other responsibilities for the Operations Team.

Fluent in Romanian, Danut previously worked with the Ambassador and a team of diplomats with the Permanent Mission of Romania to the United Nations.

He also served as a Research Assistant in the Department of Political Science at Columbia University, graduating in 2009 with a Bachelor of Arts in Political Science.

•••

Tonia Vailas, MAI, has been elected President of the Long Island Chapter of the Appraisal Institute for the Year 2018.
Serving Nassau and Suffolk counties of Long Island, the Chapter assists local real estate appraisers to earn Appraisal Institute professional membership designations and provides appraisal education and networking to the real estate and related industries.

Vailas is Director of NYC Financial Services Property Valuations unit.

In 2018 she will lead the Chapter to educate appraisers; increase membership; develop future leaders; deepen association with related industries; raise awareness of the benefits of hiring Appraisal Institute members; implement new technology and utilize social media outlets to benefit Chapter members and the public.

Vailas, who earned her MAI designation in 2011 has been a member of the Chapter’s Executive Board since 2013.

•••

Marcus & Millichap has hired Alex Svetlakou.

Previously, Svetlakou worked for over five years at Cushman & Wakefield — formerly Massey Knakal — where he specialized in the sale of investment real estate in South Brooklyn. He will continue to utilize his connections in the South Brooklyn investment communities and serve clients in the area.

Svetlakou graduated from St. John’s University on a full athletic scholarship with majors in finance and economics.

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DLA Piper announced that Bruce Saber has joined the firm’s Real Estate practice as a partner and Gerald Shepherd has joined the practice as of counsel, both in the New York office.

Bruce Saber focuses his practice on complex private equity, financing, development, hospitality and leasing transactional work.

His career in the real estate industry spans 30 years, in law firms and real estate development and investment companies.
Saber received his J.D. from the New York University School of Law and his B.A. from the University of Rochester.

Gerald Shepherd advises public and private companies, including private equity and real estate funds, in connection with acquisitions and dispositions, as well as the establishment of joint ventures relating to real estate and other industries.
Shepherd received his J.D. from the Columbia University School of Law and his B.A. from Washington & Lee University.
Saber and Shepherd both join from Arnold & Porter Kaye Scholer LLP.

•••

Rubenstein Partners has hired Ferhat Guven as Director of Investor Relations.

Guven will lead Rubenstein’s capital raising efforts in coordination with the firm’s senior leadership team.
He joins Rubenstein with more than 15 years of fundraising and direct investment experience for a variety of real estate strategies, and will be based in the firm’s New York City offices.

Guven joins from Threadmark, LP, the U.S. arm of a U.K.-based placement agent, where he served as Senior Vice President. Previously, he founded Altitude Advisors and before that, he worked in the United States, Europe, the Middle East and Latin America for Jamestown, Paladin Realty Partners and UBS.

Guven graduated from the London Business School with a Masters of Science degree in management, where he was a Sloan Fellow, and from Texas Tech University with a Bachelor’s degree in Political Science and History.

•••

Thor Equities announced the appointment of Jeff Menard as Vice President of Acquisitions.

Menard will be responsible for leading Thor Equities’ North American acquisitions group. Previously, he was Vice President, Acquisitions at Mitsui Fudosan America, where he focused on the company’s capital market activities.

•••

CBRE announced that 19-year industry veteran Jeremy Neuer has been named executive vice president.
The announcement comes on the heels of Neuer’s 2017 promotion to co-leader of CBRE’s New Jersey Capital Markets Group alongside vice chairman Jeffrey Dunne.

Neuer focuses on office and industrial sales throughout New Jersey.

Having joined CBRE in 2011 as a senior vice president, Neuer brings a comprehensive knowledge of New Jersey office assets and ownership to his role.

Throughout his career, he has represented some of the state’s most prominent leasing agencies and tenants, providing a depth of knowledge that is unique to the Capital Markets discipline.

•••

Rosenberg & Estis, P.C. announced that Jonathan S. Hacker has joined the firm as a Member and will serve as head of its Cooperative and Condominium division.

Hacker brings significant experience in co-op and condo law, mainly representing sponsors of offerings of whole and fractional interests in co-ops and condominiums within and outside New York State.

In addition, he has handled a wide range of commercial real estate matters, including conveyancing, leasing, mortgage and mezzanine financing, debt work-outs and private equity offerings.

Prior to joining Rosenberg & Estis, Hacker was with Golenbock Eisman, Assor Bell & Peskoe.

Hacker has served as a member of the Cooperatives and Condominiums committee for the NY State Bar Association.
He received his Juris Doctor from Hofstra Law School and his Bachelor of Arts degree from Lehigh University, with honors.

•••

Hoffmann Architects welcomed a new design professional to the technical staff.

Amanda L. Miller, AIA joins as Staff Architect, based in the firm’s New York City office.
At the University of Notre Dame, where she earned a Bachelor of Architecture degree, Miller received accolades for leadership, service, and professional merit.

While earning a Master in Design Studies at the Harvard University Graduate School of Design, she was elected as her Class Marshal and served in leadership capacities with Student Forum and the African American Student Union. Along with advanced design software skills, Miller brings to her new position professional experience in commercial and institutional projects, as well as team collaboration and mentoring.

The post WHO’S NEWS: Commercial appointments and promotions appeared first on Real Estate Weekly.

NEW YORK

CBRE announced the firm’s latest under-30,000 s/f office leasing transactions in Manhattan.
Tenant Representation

• CBRE’s Ken Rapp and Jared Freede represented Mitchell Silberberg & Knupp in a 18,650 s/f lease at 437 Madison Avenue for the entire 25th floor. The term is 15 years and the tenant is moving from 12 East 49th Street. Owner William Kaufman Organization was represented by Frank Doyle, David Kleiner, Michael Lenchner, Hayley Shoener, Cynthia Wasserberger and Harlan Webster of JLL.

• Freddie Fackelmayer and Ramsey Feher represented Demandbase in a 15,931 s/f lease at 114 West 41st Street for the entire ninth floor. The term is five years and the tenant is moving from 405 Lexington Avenue. Landlord Equity Office Properties was represented by Erik Harris, Scott Klau and Zach Weil of NKF.

• Brian Hay, Timothy Hay and Robert Hill represent Zeno Group in a 10,114 s/f expansion/lease at 140 Broadway for the partial 39th floor. Owner Union Investment Real Estate was represented by Robert Constable, Louis D’Avanzo, Myles Fennon, Jedd Horn and David Tricarico of C&W.

• Alec Kirschner and Richard Levine represented Willdan in an 8,484 s/f lease at 88 Pine Street for the partial tenth floor. The term is five years. Owner Orient Overseas Container Line was represented by Frank Cento, Robert Constable and Edward Mombello of C&W.

• Zac Price represented Group RMC in a 6,584 s/f lease at One World Trade Center for the partial 83rd floor. The term is five years and the tenant is moving from 100 William Street. Owner Durst Organization was represented in-house by Karen Kuznick and also by Justin Royce and Barry Zeller of C&W.

• Michael Affronti and Sinclair Li represented Boyd Richards Parker Colonnelli in a 5,200 s/f sublease at 7 Times Square Tower for the partial 19th floor. The tenant is moving from 90 Park Avenue. Sub-sublandlord, Ashurst LLP, was represented by Ed Wartels of C&W.

• Ryan Alexander and Alex Benisatto represented Cambridge Associates in a 5,036 s/f lease at 437 Madison Avenue for the partial 22nd floor. Owner William Kaufman Organization was represented by Frank Doyle, David Kleiner, Michael Lenchner, Hayley Shoener, Cynthia Wasserberger and Harlan Webster of JLL.

Landlord Representation

• Michael Affronti, Ryan Alexander and Silvio Petriello represented owner RXR Realty in a 29,030 s/f lease with StepStone Group at 450 Lexington Avenue for the entire 31st floor. The term is 11 years. The tenant is moving from 885 Third Avenue and was represented by David Carlos of Savills Studley.

• Brad Gerla, Adam Leshowitz, Michael Rizzo and Rob Wizenberg represented owner CIM Group in a 13,950 s/f lease with Fullstack Academy of Code at 5 Hanover Square for the entire 11th floor. The tenant was represented by Brian Weld of C&W.

• Nathan Katz and Joel Wechsler represented sublandlord Reputation Institute in a 10,770 s/f sublease with Cineflix Media at 55 Broad Street for the entire 21st floor. The tenant is moving from 161 Avenue of the Americas and was represented by Michael Mathias of Savills Studley.

• Derrick Ades and Edward Goldman represented owner Stawski Partners in a 9,280-square-foot renewal with Kookmin Bank at 565 Fifth Avenue for the entire 24th floor. The term is ten years. The tenant was represented by Michael Burgio of C&W.

• Meghan Allen, Paul Amrich and Patrice Meagher represented owner Westbrook Partners in a 6,990 s/f renewal with Freeman & Company at 444 Madison Avenue for the partial 12th floor. The tenant was represented by Bryan Boisi and Jonathan Schindler of C&W.

• Jonathan Cope, Brad Gerla, Eric Kleinstein and Paul Walker represented owner ROZA 14W LLC (Alex Rovt) in a 6,791 s/f lease with Fleiscnher Potash Cardali Chernow Coogler Greisman Stark Stewart LLP at 14 Wall Street for the partial fifth floor. The tenant is moving from 61 Broadway and was represented by Roy Abraham and Bert Rosenblatt of Vicus Partners.

• Laurence Briody and Brian Gell represented sublandlord Centric Digital in a 6,200 s/f sublease with U.S. News & World Report at 120 Fifth Avenue for the entire seventh floor. The subtenant was represented by Eric Cagner and Greg Wang of NKF.

• Joseph Mangiacotti represented owner Chetrit Group in a 5,200 s/f lease with Investis at 240 West 37th Street for the partial 7th floor. The term is seven years. The tenant is moving from 12 East 49th Street and was represented by CBC Hunter Realty.

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Cushman & Wakefield announced a series of leases in the Manhattanville Factory District. Senior managing director Jon Fales was the leasing agent in each transaction.

• Gavin Brown Enterprises, a world-renowned art gallery, opened a newly-constructed gallery at 439 West 127th Street. the company leased 30,000 s/f in The Malt House, a 185,000 s/f project with several outdoor areas. The building’s main entry doubles as a Belgian block walkway to a new retail-lined outdoor courtyard. The building offers a combination of dramatic old brewery interiors with state-of-the-art new construction.

• Studio Museum Harlem opened 5,000 s/f of art studios for the museum’s artists-in-residence, art gallery and administrative/executive offices at The Sweets Building at 423-429 West 127th Street. the 50,000 s/f property is comprised of two distinct buildings connected by a central lobby and elevator core.

• At 1351 Amsterdam Avenue, Plowshares Coffee Roasters, a boutique wholesale coffee roaster serving Brooklyn, Manhattan, and the greater New York metropolitan area, signed an 1,800 s/f retail lease. 1351 Amsterdam Avenue is a 7,000 s/f two-story L-shaped building fronting both Amsterdam Avenue and West 126th Street.

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HSP Real Estate Group, a member of NAI Global, announced the following leases:

• Todd Korren and Albert Wu arranged a 10-year lease on behalf of the ownership of 28 West 36th Street with DePaula & Clark, an accounting and financial services firm. The tenant will be relocating from 30 West 22nd Street and expanding into a 2,700 s/f, partial fourth floor space. Korren and Wu are the exclusive agents for the landlord, 28-32 Herald Properties, LLC. The tenant was represented by Waite Buckley, of Vicus Partners, LLC. The asking price was $48 psf.

• Rob Frischman and Albert Wu arranged a lease for PEI Media Inc. at 130 West 42nd Street, between Broadway and Sixth Avenue. The British-based financial information group, which also has offices in London and Hong Kong, is expanding its New York footprint by relocating to the 6,963 s/f space at the newly refurbished building. Its previous office was at 16 West 46th Street. Landlords Tribeca Associates and Vanke US, were represented by Clark Finney, Mitch Konsker, Frank Doyle and Harlan Webster of JLL.

• Howard Epstein arranged a lease renewal for Cape Classics Inc., a South African wine distributor, at 16 West 36th Street, between Fifth and Sixth Avenues. The five-year extension is for the company’s 3,664 s/f space on the penthouse level and will begin December 1, 2018 after the current lease expires on November 30. Epstein also represented the landlord, Kiamie Industries, Inc. The asking price was $52 psf.

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GFP Real Estate (GFP) and owner Musart Associates announced 5,485 s/f of new leasing activity at 119 West 57th Street, a 16-story, 112,000 s/f building located in Midtown Manhattan. Tnants were delivered their space in white box condition and then built out the premises to meet their individual criteria and needs. The announcement was made by Brian Steinwurtzel and Eric Gural, co-CEOs of GFP, which acts as the property’s third-party manager. Roy Lapidus, Managing Director of GFP, represented the ownership in each of the transactions.

• Cynergy Physical Therapy P.C., signed a new 12-year, 4,800 s/flease on the sixth floor of 119 West 57th Street. The tenant relocated from nearby 145 West 57th Street.

• Midtown Nutrition Care, Inc., a Manhattan-based nutrition practice, signed a new 12-year lease for 685 s/f on the 12th floor. The tenant moved from a sublet space on the 14th floor of the building.

NEW JERSEY

A joint venture partnership between Heidenberg Properties Group, Strategic Real Estate Partners and Norse Realty Group has signed a new lease with Middletown Medical Group at the Thompson Square Shopping Center in Monticello, NY. Middletown Medical Group will occupy 8,413 s/f at the Sullivan County retail center by combining three tenant spaces, two of which were previously unoccupied, for its newest location. The location will enable Middletown Medical to consolidate two existing Monticello physician offices. Ken Simon, VP of Real Estate for Heidenberg Properties, made the announcement.

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John Guest USA, Inc. has leased 60,600 s/f at 20 East Halsey Road in Parsippany. The plumbing and industrial products manufacturer will relocate its North American headquarters operation to the Morris County industrial/flex property from Fairfield, NJ, in an expansion play, according to Colliers International NJ. Colliers’ John Donnelly represented John Guest USA in orchestrating the long-term lease. Thomas Consiglio and Scott Peck from Resource Realty served as brokers for property owner GTJ REIT. The property offers a 15,000 s/foffice component, extra parking capacity and future building expansion potential.

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Herb Zimmerman, senior vice president, of Bussel Realty Corp. (BRC), closed two industrial real estate transactions in Hillside, New Jersey, totaling 43,500 s/f.

• CNC Warehousing leased 26,000 s/f at 487 Hillside Avenue and 17,500 s/f at 100 Hoffman Place in Hillside, New Jersey. Zimmerman represented CNC Warehousing and the owner for each respective property was represented in-house. CNC Warehousing will utilize the spaces for distribution of its routers, mills, lasers, fiber lasers, plasma cutters and water jets to its local customer base. The company has a location in Linden, New Jersey and expanded its business. 100 Hoffman Place totals 550,000 s/fand has 14- to 18-foot ceilings, 11 tailboards and four drive-in doors, wet sprinklers, 1,000 amps of electric power and sits on 12.2 acres. 487 Hillside Avenue totals 192,000 s/f and has 10- to 15-foot ceilings, ten tailboards and three drive-in doors, dry sprinklers, and sits on 5.18 acres.

CONNECTICUT

Jon Angel, president of Angel Commercial, LLC, announced two new leases at 418 Meadow Street, Fairfield, CT, bringing the property to 100 eprcent occupancy:

• Convexity Scientific Inc. leased 3,072 s/f of space for their new headquarters. Convexity Scientific Inc. is a life sciences company. Its first medical device, a handheld nebulizer used to treat respiratory diseases, was recently cleared by FDA. They were represented by Newmark Knight Frank.

• Wise Language Services, leased the 1,775 s/f. Wise Language Services provides tutoring and ACT/SAT prep classes in Ridgefield, Fairfield & Newtown CT. The tenant was represented by Angel Commercial.

•••

Sean Cahill, Avison Young principal and managing director of the firm’s Fairfield/Westchester office, announced the closing of a new 6,700 s/f lease for Connecticut Counseling Centers, Inc. consisting of the entire ground floor of Commerce Plaza at 15 Commerce Road in Stamford, CT. Cahill, Eva Kornreich and Christopher Grundy arranged the 10-year lease on behalf of the building owners, Commerce Plaza, LLC. The tenant was represented by Larry Katz of Larry Katz Commercial Realty.

•••

Franco Fellah, Executive Vice President at HK Group, announced the following leases:

• Shoe Inn, a retailer that sells upscale women shoes and accessories, leased 1,200 s/f of retail space with a full lower level at 36 Elm Street, New Caanan.

• Coastal Connecticut Counseling, a therapy support center for individuals, couples, children and families leased 3,342 s/f of office at 2960 Post Road in Southport, CT.

• Waterman-Hurst, a senior executive consulting and advisory firm leased 2,170 SF of Class A office space at 40 Danbury Road Wilton, CT.

• Bird, Bonette, Stauderman, Inc., advertising production consultants, leased 2,500 s/f of direct waterfront office at 49 Riverside Avenue Westport, CT.

• JoyRide Cycling Studio, extended their 4,207 s/f lease in Darien. They have three additional locations in Westport, Wilton and Ridgefield.

The post LEASES: Zeno Group expands at 140 B’way; South African wine distributor takes space on 36th Street appeared first on Real Estate Weekly.

Alpha Realty announced the sale of 1193, 1199, and 1205 Eastern Parkway for $11,300,000. The three contiguous buildings are located in Crown Heights section of Brooklyn. The properties, all four-story walk-ups, consist of 50-units in total and approximately 55,000 s/f. The sale achieved a 15x rent multiple and equated to $205 psf. The buyer is NY-based multi-family operator, while the seller is a local private investor. Alpha Realty’s managing partner Lev Mavashev negotiated the off market deal.

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Ariel Property Advisors facilitated the sale of 4510 White Plains Road, a commercial building located in The Bronx neighborhood of Wakefield. The 2-story property sold for $3.725 million. The block-through property benefits from frontage along White Plains Road and Furman Avenue. Spanning 29,029 s/f, the building has four curb cuts and entrances. Agents Marko Agbaba, Jason M. Gold, Victor Sozio, and David Khukhashvilli represented the owner and secured the buyer. The property has undergone an array of renovations, including a roof replacement, a gas boiler conversion, and a sprinkler system installation. Zoned M1-1, which allows for manufacturing, the building’s new owner inherited an in-place ICAP tax abatement that are set to expire June 30, 2039.

•••

Jonathan Shainberg, Shallini Mehra and Amit Doshi of Besen & Associates announced the sale of 1110 Anderson Avenue in the Highbridge section of the Bronx. The 51,500 s/f six-story elevator building consists of 44 apartments with a mix of one and two bedroom units, approximately 1,000 s/f each. The sellers were long-term holders, having acquired the building back in 1982. The property is close to the 167th Street Subway Stop and a 10-minute train ride into Manhattan. The 110 foot-wide property sold for $8,500,000, which equates to $193,181 per unit, $165 psf and a 4.1 percent capitalization rate.

•••

Roni Soleimani of Capital Property Partners announced the sale of a two-building retail package in the Canarsie neighborhood of Brooklyn. The sale price was $6,500,000. The package has a total of 11,680 s/f consisting of four retail units. All units are occupied anchored by Family Dollar. These properties receive excellent exposure as it is only steps away from restaurants, shops, markets, Canarsie Park, and the L train. Soleimani represent the buyer. Lukas Rociunas-Englert, also of Capital Property Partners, represented the seller.

•••

Cushman & Wakefield arranged the sale of an 8,285 s/f mixed-use building located at 944 Columbus Avenue in the Upper West Side’s Manhattan Valley neighborhood. The final closing price was $4.2 million. Guthrie Garvin and Hall Oster represented the seller in the transaction. The site was purchased by Comprehensive Practice Management LLC. 944 Columbus Avenue features five-stories, nine residential apartments and two commercial units. Of the nine residential units, one is vacant, one is rent controlled and seven are rent stabilized. The ground floor of the property contains a garden studio apartment. Floors two through five are designed as a pair of front and back two-bedroom apartments but have the potential to be converted into three-bedrooms as they become vacant. The retail component consists of a beauty salon and a small restaurant both with leases scheduled to expire during the summer of 2018.

• 210 East 95th Street, a residential, five-story walk-up in Carnegie Hill, sold for $12,150,000. Hall Oster, Tom Gammino, Teddy Galligan, Brett Weisblum and Tim O’Brien represented the seller in the transaction. The 9,892 s/f 25-foot wide building has been extensively renovated and contains 15 units, all of which are free market. The units consist of two, two-bedroom, 12 three-bedroom and one four-bedroom apartment. The three ground floor units have been duplexed with the basement. Property features include a landscaped roof deck open to all tenants, high-end finishes, in-unit washer dryers and a gas-fired boiler.

• A 20,930 s/f mixed-use apartment building at 1618 Benson Street in the Westchester Square neighborhood of the Bronx. The final closing price was $4,550,000. Guthrie Garvin and Karl Brumback represented the seller. The site was purchased by SKYC Management. The five-story mixed-use apartment building features 23 residential units and three commercial units, all of which are currently occupied. The building also features billboard space and cellular antennas, which are operated by Sprint Corp. 1618 Benson Street offers more than 50 feet of frontage on East Tremont and 50 feet of frontage on Benson Street. The property is a short walk from the Westchester Square-East Tremont Avenue subway station.

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GFI Realty Services announced the $5.425 million sale of 70-74 East 116th Street, a five-story mixed-use property located in the East Harlem section of Manhattan. The 21,000 s/f property is comprised of 23 apartments and three retail stores. GFI Realty Associate Director Kobi Zamir represented the buyer and seller in the transaction. Both are local investors. The building’s two regulatory agreements are due to expire in six years. The three commercial units are currently signed to below-market leases with near-term expiration dates.

•••

HPNY has closed on the sale of 759-63 Manhattan Avenue in the Greenpoint section of Brooklyn for $9,400,000. The property is located between Meserole and Norman Avenue. The five-story mixed-use walkup is built 17,000 s/f and consists of 16 apartments and two stores. The retail is occupied by Mattress Firm and Wine Store. The building traded around $552 psf. Seller of property was an investment fund. The purchasing entity was a 1031 investor. Ivan Hakimian and Lexi Kaplan of HPNY were involved in the transaction.

•••

Marcus & Millichap announced the following sales:

• 1829 Madison Street, a 6-unit apartment property located in Ridgewood, sold for $1,800,000. Shaun Riney, Thomas Shihadeh and Andrew Reiter in the firm’s Brooklyn office, represented the seller, a private investor, and the buyer, also a private investor.

• 664 6th Avenue, an eight-unit apartment property in Brooklyn, sold for $2,700,000. John Brennan and Richard Sodeke, in the firm’s Brooklyn office, represented the seller and the buyer. The sale price represented 18 times the gross rent roll, and $500 psf . The fully-occupied building had been held by the same family for 52 years. The buyer is a local investor.
• 433-439 Miller Avenue, a 25-unit Brooklyn apartment property sold for $3,800,000. Shaun Riney, Thomas Shihadeh, Daniel Greenblatt, William Grover and Jonathan Cypers represented the seller, a private investor. The buyer, a private investor, was secured and represented by the team.

• 1656 Dekalb Ave, a six-unit apartment property in Brooklyn, sold for $1,075,000. Shaun Riney, Thomas Shihadeh, and Andrew Reiter, represented both buyer and seller.

• 220 North 6th Street, a 3-unit Brooklyn apartment property sold for $2,050,000. Shaun Riney, Michael Salvatico and Matthew Steinberg represented the seller and the buyer.

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ONE Commercial Realty announced the sale of 1850 Amsterdam Avenue in Harlem for $4,530,000. A vacant elevator parking garage with redevelopment potential, the site offers 9,600 s/f above grade and 4,800 s/f of usable below grade cellar. Total buildable square feet is 20,000. The sale price equates to $471 psf or $226.50 per bsf. Josh Lipton & Andrew Levine represented both the seller, Wall To Wall Holdings, LLC , and the buyer. 1850 Amsterdam Avenue, LLC . The sale price is record for a conversion/development site north of 145th Street.

•••

Northeast Private Client Group announced the following sales:

• New Hackensack Plaza located at 1820 New Hackensack Road in Poughkeepsie, NY. Bradley Balletto and Jeffrey Wright represented the seller and procured the buyer in the $3,450,000 transaction. Over the past ten years, New Hackensack Plaza has undergone gut renovations along with the replacement of all mechanical, plumbing and electrical units. The site contains approved plans for a 3,200 s/f pad site and potential to build apartment units above the retail units. The seller was K&J Partners LLC. The buyer, Qualamor Corp, paid $136.93 psf, and a capitalization rate of 7.9-percent on current net operating income.

• Edward Jordan, JD, CCIM, the firm’s managing director, Bradley Balletto, Rich Edwards and Jeff Wright represented the seller and sourced the buyer of 127-129 Howe Street, an 8-unit building sold by PK&R LLC for $1,050,000, or $122,500 per unit and a capitalization rate of 4.3 percent.

• Grand Avenue Apartments, New Haves, is a 12-unit multifamily property which traded for $1,025,000. This price equates to a price of $85,526 per unit. The seller was Navarino Capital. Edward Jordan, JD, CCIM, the firm’s managing director, Bradley Balletto, Rich Edwards and Jeff Wright represented the seller and sourced the buyer.

• 456 Lombard Street, a 16-unit multifamily property near the corner of Lombard Street and Fillmore Street in New Haven, was sold by NHR Properties for $1,360,000. This price equates to a price of $85,000 per unit and a capitalization rate of 8.2-percent. Edward Jordan, JD, CCIM, the firm’s managing director, Bradley Balletto, Rich Edwards and Jeff Wright represented the seller and buyer.

• A 6-unit multifamily property on 36-38 Lyon Street in New Haven was sold to White Plains-based The Kempner Corp for $950,000. This price equates to a price of over $158,000 per unit and a capitalization rate of 9.2-percent. Edward Jordan, JD, CCIM, the firm’s managing director, Bradley Balletto, Rich Edwards and Jeff Wright represented the seller and sourced the buyer.

The post ON THE SCENE: Alpha Realty sells trio of Crown Heights buildings; Bronx building sells for $8.5M in Highbridge appeared first on Real Estate Weekly.

JPMorgan Chase will occupy more than half the space inside the newly-remassed 390 Madison Avenue while it pursues a new global headquarters.

The financial services conglomerate signed a 10-year lease at the Midtown East office building. It will occupy 16 full floors, accounting for 436,905 s/f of the property’s 850,000 s/f. It also leased two ground-floor retail spaces to open a Chase Bank branch.

L&L Holding Company, in conjunction with Clarion Partners and the New York State Common Retirement Fund, took 390 Madison through a major redevelopment, stripping away 1,500 tons of concrete from the base and paring back floors nine through 12 by 25 percent to add 100,000 s/f of double-height floors to the top of the building, taking it from 24 stories to 32.

Along with the additional floors, the remassing allowed L&L Holding to change the character of the building, increasing ceiling heights, installing a new glass facade for ample light, adding 13 spacious terraces and carving out designated amenity spaces, all with the goal of appealing to a younger workforce.

JPMorgan’s space at 390 Madison also includes a conference center, its own outdoor terraces and several double-height amenity areas.

However, this location will likely serve as a stop-gap measure for the company while it pursues a new permanent headquarters. The plan is to demolish its current operations base at 270 Park Avenue then build a replacement on the same site but it has run into resistance from city residents who hope to preserve the boxy black tower. If successful, the opposition could drive the bank from the aging office stock of Midtown to the city’s greener pastures.

For the time being, L&L Holding Chairman and CEO David W. Levinson is glad to keep JPMorgan in Midtown.

“JPMorgan has long been a stalwart of the Grand Central District, and their continued long-term commitment will serve as a major boost to this iconic Midtown neighborhood,” he said. “We are proud to welcome them to 390 Madison Avenue.”

Levinson and the L&L Holding team of David C. Berkey, Andrew Wiener and Jim Traynor, represented both their own company and JPMorgan in the lease negotiations.

Robert Lapidus, L&L Holding’s president and chief investment officer, said he believes 390 Madison will be the “model for the future of Midtown East,” with its use of outdoor space, green technology and amenities.

In addition to JPMorgan, L&L Holding has secured commitments from beauty company Shiseido Americas Corporation, which has leased 225,818 s/f on floors 15 through 22, and the law firm Hogan Lovells, which will occupy 200,000 s/feet on floors seven through 12.

The building is scheduled to open this summer.

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Lexus will be the next brand to set up an experiential retail outpost in the Meatpacking District.

Union Investment Real Estate GmbH, a German investment firm, acquired a 17,000 s/f space at 412 West 14th Street for the concept “Intersect by Lexus,” a three-story showroom that will include a coffee shop, restaurant, gallery and event space.

The venue will be similar to Cadillac House, a show room and event space on Hudson Street in SoHo. Other premium car brands have adopted the approach elsewhere in the country, including Lincoln, which has experience centers in California and Texas.

Toyota, which owns Lexus, first introduced the Intersect concept in Tokyo in 2015. The Meatpacking location will be its first in the U.S.

Built in during the neighborhood’s industrial heyday in 1900, 412 West 14th Street was renovated last year. Union Investment purchased the building’s retail condo from Premier Equities for an undisclosed price.

“The quality of the location is an excellent fit within Union Investment’s acquisition profile in North America,” Kseniya Merritt, head of Union Investment’s U.S. retail operation, said. “To date, we have invested in retail locations in New York, Philadelphia and San Francisco and our ambition is to continue developing and diversifying our retail portfolio.”

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Edward A. Riguardi, a leading figure in the New York real estate industry, died today (Monday) in Little Silver, New Jersey. He was 85.

With more than 50 years of experience in the New York commercial real estate industry, Mr. Riguardi was known as the “Dean of Property Management in New York.”

EDWRAD RIGUARDI

Before retiring in 2008, he was Managing Director at Jones Lang LaSalle in the New York Transactions group, where he was responsible for senior oversight of the management portfolio in the New York metro area.

Prior to his tenure at Jones Lang LaSalle, Mr. Riguardi was Chairman at Colliers ABR and was President and Founder of Koeppel Tener Riguardi.  As President, he was responsible for creating the Property Management Group,  which grew to oversee nearly 10 million square feet of institutional property,  and for managing the growth of the firm’s brokerage, consulting and appraisal businesses.

Prior to Koeppel Tener Riguardi, Mr. Riguardi spent 29 years at Williams Real Estate, rising from the Operations and Engineering Department to one of the firm’s three Senior Executive Vice Presidents and was a member of the six-man executive committee, which oversaw the operations of the firm.  At its peak, Williams’ portfolio consisted of nearly 30 million square feet of office space in 200 Manhattan office buildings. 

Mr. Riguardi has acted as a consultant to such institutions as Exxon, American Express, Bank of New York, Citibank, Equitable Life, Merrill Lynch and John Hancock, coordinating asset management strategies for their real estate portfolios.

Throughout his career, he served on the Board of Governors and Executive Committee of The Real Estate Board of New York, overseeing its management division.  He was a Vice President and a member of the Executive Committee and Board of Directors of the Realty Advisory Board.  He served three prior mayors on real estate committees in New York and served as the Chairman of the Realty Advisory Board Labor Negotiating Team, a group that negotiates agreements with labor organizations, representing building owners in the real estate industry.

Mr. Riguardi was honored by the Real Estate Board of New York for his work in safety regulations, city codes, rehabilitation of properties and adding value to a client’s property. Among the REBNY awards he received: The Bernard H. Mendik Lifetime Leadership in Real Estate Award, 2008; The George M. Brooker Management Executive of the Year Award, 1983; The Kenneth R. Gerrety Humanitarian Award, 1997; The Commercial Management Leadership Award, 2003. In 2010, REBNY renamed the Commercial Management Leadership Award, the Edward A. Riguardi Executive of the Year Award.

Mr. Riguardi is a former president of BOMA NewYork, where he was the recipient of their Outstanding Local Member of the Year Award in 1997-98, and served on the Mayor’s Committee on the Commission of School Facilities, the Committee on Maintenance Reform, and The New York City Building Code Review.  He is the recipient of the 1999 Iona College Trustee Award.

Mr. Riguardi, who was born and raised in Brooklyn, NY, held engineering, real estate and insurance degrees, was a licensed real estate and insurance broker in New York. He earned the RPA designation from the Institute of Real Estate Management (IREM) and the CRE designation from the American Society of Real Estate Counselors.

Mr. Riguardi is survived by his son, Peter, Chairman and President of JLL’s Tri-State Region; his daughter Sarah Gerace; six grandchildren, and five great grandchildren.

All arrangements are under the care of John E. Day Funeral Home, 85 Riverside Avenue, Red Bank, NJ, 07701, 732-747-0332, johnedayfuneralhome@gmail.com. A wake will be held on Sunday, March 11, in Red Bank, NJ, and funeral services will be held on Monday morning, March 12, in Manhattan.

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Flexible office provider Knotel has added another 30,000 s/f to its Manhattan portfolio, adding additional locations near Union Square and the Flatiron District.

Last month, the short-term lease specialist closed on deals for 14,000 s/f between the second and third floors at 41 Union Square, and 16,000 s/f at 43 West 24th Street, where it took floors five, six and seven.

At the Union Square location, Michael Morris and Greg DiGioia of Newmark represented Knotel and Newmark also represented Brause Realty. Meanwhile, Elie Reiss of Skylight Leasing represented Knotel in the negotiations at 24th Street while Olmstead represented the landlord, The Rosen Group.

Unlike other flexible lease companies that focus on coworking and shared amenities, Knotel offers exclusive, unbranded offices to individual companies. Its recent acquisitions come on the heels of a deal with the Moinian Group for 20,000 s/f at 72 Madison Avenue, where Starbucks and the Sequoia Consulting Group have already signed full-floor subleases.

In total, Knotel controls 700,000 s/f of office space in New York and San Francisco.

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Meridian Capital announced the following transactions:

• A new mortgage in the amount of $6,300,000 on a five-building, 55-unit cooperative property located on Lexington Avenue in New York, NY. The loan features a rate of 3.625% and a 10-year term. Steve Geller and Avi Geller negotiated this transaction.

• A new mortgage of $6,100,000 was placed on a 62-unit multifamily property located on West Sixth Street in Brooklyn, NY. The loan features a rate of 3.375% and a five-year term. This transaction was negotiated by Avi Weinstock and Chaim Tessler.

• A new mortgage in the amount of $4,500,000 on a 67-unit cooperative property located on Central Park West in New York, NY. The loan features a rate of 3.625% and a 10-year term. Steve Geller and Avi Geller negotiated this transaction.

• A new mortgage of $3,800,000 was placed by Meridian on a four-unit multifamily property located on Bedford Avenue in Brooklyn, NY. The loan features an initial rate of 3.625% and a five-year term. This transaction was negotiated by Charles Grussgott and Michael Helmreich.

• A new mortgage in the amount of $2,500,000 on an eight-unit multifamily property located on Rogers Avenue in Brooklyn, NY. The loan features an initial rate of 3.375% and a five-year term. Michael Farkovits negotiated this transaction.

• A new mortgage of $1,300,000 was placed on an eight-unit multifamily property located on Stanhope Street in Brooklyn, NY. The loan features an initial rate of 3.50% and a five-year term. This transaction was negotiated by Michael Homapour and Brian Flax.

•••

Marcus & Millichap Capital Corporation announced the following transaction:

• A $2,400,000 financing package to refinance a 54-unit, multifamily building in the Norwood neighborhood of the Bronx. The financing included a $2,250,000 first mortgage which featured a 10-year fixed interest rate of 3.85% and a $150,000 line-of-credit. The financing was arranged by Andrew Dansker.

•••

Eastern Union Funding announced the following transactions:

• A $19,500,000 first lien mortgage for the refinance of a 31-unit office building on S Broadway in Yonkers, NY. This transaction was arranged by David Metzger, Simcha Greenwald and Nate Hyman.

• A $19,350,000 first lien mortgage for the acquisition of a healthcare facility on Kappock St in Bronx, NY. This transaction was arranged by Nachum Soroka, Phil Krispin and Yossi Rubin.

• A $17,005,000 first lien mortgage for the refinance of a 26-unit mixed-use on Manhattan Ave in Brooklyn, NY. This transaction was arranged by Meir Kessner and David Eisen.

• A $11,600,000 first lien mortgage for the refinance of an office building on Oak Glen Rd in Howell, NJ. This transaction was arranged by Abraham Bergman and Yossi Orzel.

• A $10,900,000 first lien mortgage for the refinance of a 24-unit multifamily on Fulton St in Brooklyn, NY. This transaction was arranged by Meir Kessner and David Eisen.

• A $5,250,000 first lien mortgage for the acquisition of a 22-unit retail property on Scaggsville Rd in Fulton, MD. This transaction was arranged by Marc Tropp.

• A $5,000,000 first lien mortgage for the acquisition of a 32-unit shopping center on Austin Peay Hwy in Memphis, TN. This transaction was arranged by Chesky Gross.

• A $4,650,000 first lien mortgage for the acquisition of a 60-unit multifamily on Point St in Camden, NJ. This transaction was arranged by Nate Hyman and David Metzger.

• A $4,200,000 first lien mortgage for the refinance of a 12-unit multifamily on Bergen St in Brooklyn, NY. This transaction was arranged by Moshe Lipschitz and Michael Muller.

• A $4,195,146 first lien mortgage for the acquisition of a 72-unit multifamily on N Fox Ave in Panama City, FL. This transaction was arranged by Adelle Ross and Judah Aderet.

• A $10,020,000 first lien mortgage for the acquisition of a 3 property multifamily portfolio in Elizabeth, NJ. This transaction was arranged by Nate Hyman, Jonathan Singer and David Metzger.

• A $2,400,000 first lien mortgage for the refinance of a 48-unit multifamily on Haverford Rd in Crum Lynne, PA. This transaction was arranged by Michael Muller and Jack Beida.

• A $2,006,250 first lien mortgage for the acquisition of a 2-unit office building on E Joppa Rd in Parkville, MD. This transaction was arranged by Barry Dollman and Marc Tropp.

• A $2,000,000 first lien mortgage for the refinance of a 5-unit retail on Merrick Blvd in Queens, NY. This transaction was arranged by David Merkin and Marc Tropp.

• A $1,500,000 first lien mortgage for the refinance of a 6-unit mixed-use on Waltham St in Jamaica, NY. This transaction was arranged by Motti Blau and Mendy Pfeifer.

• A $1,350,000 first lien mortgage for the refinance of a 23-unit multifamily on Grafton St in Jamaica, NY. This transaction was arranged by Jack Beida.

• A $1,262,250 first lien mortgage for the acquisition of a multifamily property on Giles Pl in Bronx, NY. This transaction was arranged by Meir Kessner and David Eisen.

• A $1,050,000 first lien mortgage for the refinance of a 12-unit multifamily on Parker St in Newark, NJ. This transaction was arranged by Adelle Ross.

•••

GCP Capital Group arranged mortgage financing in the aggregate amount of $71,255,000 for the following properties:

• $41,000,000 for a three-story plus lower level office building comprised of approximately 314,200 rentable square feet, located in New Hyde Park, Nassau County, New York. Alan Perlmutter, Managing Member of GCP Capital Group, arranged the financing for this transaction.

• $13,500,000 for a four-story mixed-use building containing 47 apartments and 27,000 square feet of commercial space, located on Broadway in Brooklyn, New York. Jack Fried, Senior Associate, arranged the financing for this transaction.

• $8,160,000 for a six-story multifamily apartment building containing 54 units and 2,100 square feet of commercial space, located on Creston Avenue in the Bronx, New York. Adam Brostovski, Principal of GCP Capital Group, arranged the financing for this transaction.

• $4,650,000 for a five-story mixed-use building containing 7 apartments and 2,750 square feet of commercial space, located on Montague Street in Brooklyn, New York. Paul Greenbaum, Managing Member, arranged the financing for this transaction.

• $3,945,000 for a two-story garden apartment complex containing 72 units, located in Liverpool, New York. Matthew Classi, Managing Member of GCP Capital Group, arranged the financing for this transaction.

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Holliday Fenoglio Fowler announced the $24.8 million financing for the development of 30 Court, a 58-unit condo community in downtown Morristown, New Jersey.

Working on behalf of DRA 30 Court, LLC, a joint venture between Diversified Realty Advisors, LLC and a private investor, the HFF team placed the 30-month construction loan with Investors Bank.

30 Court will consist of two-bedroom, for-sale homes ranging from 1,276 to 1,939 s/f. The homes will feature designer kitchens with granite countertops, wood cabinetry, central air conditioning, hardwood floors and in-home washers and dryers.

The property will also feature a two-story, 131-space parking garage and a half-acre of private, outdoor recreational space. Due for completion in 2019, 30 Court will be situated two blocks from the Morristown Green and within walking distance to the downtown area’s retail and dining amenities.

The transit-oriented project is located approximately half of a mile from the Morristown Train Station and six miles southwest of the Interstate 287/80 interchange.

The HFF debt placement team representing the borrower included managing director Michael Klein and senior managing director Jon Mikula.

According to Klein,“Investors Bank offered a great loan that provided the borrower with the proceeds, funding schedule and prepayment structure that best met the partnership’s needs.”

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Fisher Brothers has signed a new 29,771 s/f lease with the Traxys Group at 299 Park Avenue, one of the firm’s signature Midtown Manhattan office towers.

With the signing of Traxys, Fisher Brothers has leased nearly 150,000 s/f of space since May 2017, bringing 299 Park Avenue to 85 percent leased.

A physical commodity trader and merchant in the metals and natural resources sector, Traxys will occupy the entire 38th floor of the tower under the new 15-year lease.

Headquartered in Luxembourg with over 20 offices worldwide, the firm is relocating its New York office from 825 Third Avenue in the second quarter of 2019.

“When selecting our new office, we set out to find a modern environment where our employees could continue to succeed in a central Midtown location. 299 Park Avenue proved to be the perfect fit, and we are thrilled to be moving our New York office to such a prestigious building,” said Mark Kristoff, Traxys CEO.

Traxys joins 299 Park Avenue’s growing roster of financial services tenants, which includes Capital One, UBS, GE Capital, and American Securities.

Recent leases secured by Fisher Brothers at the building include Varagon Capital Partners, which signed a 28,316-square-foot lease to occupy the entire third floor of the building, and 17Capital, which occupies 3,658 square feet of high-end prebuilt space on the 41st floor.

Fisher Brothers is set to initiate a major capital improvement program at the Plaza District tower in 2018. The project, which is being designed by David Rockwell and the Rockwell Group, will include a reimagined lobby, a transformation of the entrance and an illuminated plaza with exterior lighting system.

“We are pleased to welcome Traxys, which was drawn to 299 Park Avenue for its ideal Midtown location just steps from Grand Central Terminal and surrounded by the city’s top corporate headquarters and world-class dining, retail, and hospitality options,” said Fisher Brothers Partner Ken Fisher.

“The recent lease successes are a direct result of our renovation plan, which will further solidify 299 Park’s position as a premier Plaza District destination that is fully-modernized and truly reflects the prestige of Park Avenue.”

Traxys was represented by Ken Meyerson, Adam Rabin, and Taylor Scheinman of CBRE. Fisher Brothers was represented in-house by Marc Packman and Charles Laginestra, as well as by David Falk, Peter Shimkin, Andrew Sachs, Eric Cagner, and Andrew Peretz of Newmark Knight Frank.

Designed by Emery Roth & Sons and built by Fisher Brothers, 299 Park is a 42-story, 1.2 million square foot office tower which opened in 1967. Occupying the full block front between 48th and 49th Streets, neighbors include the Waldorf-Astoria and Grand Central Terminal.

Originally built over primary tracks serving the New Haven Railroad, it was considered a marvel of modern engineering at the time of its construction.

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● CAPITAL PROPERTY PARTNERS
Prices right for seller, buyer

Camber Property Group has closed on its purchase of 1314 Seneca Avenue in the Bronx for $13.2 million.

Nir Mor and Roni Soleimani of Capital Property Partners represented Camber and the seller, local private investors, Zak Equities LLC .

1314 Seneca Avenue is a six-story elevator apartment building in the Hunts Point neighborhood. The 66,000 s/f property comprises 60 apartments and two commercial units.

According to Mor, the deal follows a recent trend that has seen motivated sellers reduce asking prices to get deals done.
This was situation where the seller was just ready to move on and accepted a lower number than he originally wanted 12-18 months ago,” said Mor.

“Despite volume dropping significantly across the board, Bronx multifamily investment sales continue to be relatively strong. Corner elevator mixed use buildings located within walking distance to transportation like 1314 Seneca will sell when priced right.”

● GFI REALTY
D.A. Development closes on Astoria development site

A new condo building is in the works in Astoria’s Ditmars section just two blocks from the Hell Gate strait.

Manhattan-based D.A. Development Group purchased 21-01 21st Street for $5 million. David Shenfeld, the firm’s managing partner, said he plans to tear down the gas station on the lot and replace it with a 37,500 s/f mixed-use building.

Shenfeld said his company is partnering with JBL Development to build 18 “affordable luxury” residential units and 8,000 s/f of ground-floor retail space.

“We will be looking to take advantage of the pent-up demand for new condo inventory in this area,” he said.

Joseph Landau of GFI Realty represented D.A. Development in the sale while Josh Orlander, also of GFI, represented the seller, 21-02 21st LLC, which purchased the property for $3 million in 2015.

Designed by C3D Architecture, D.A.’s building will feature a “clean and minimalist” design, Shenfeld said. On-site amenities will include a communal roof, storage, parking, children’s playroom and a gym.

Located at the corner of 21st Street and 21st Avenue, the building will be in Astoria’s predominantly residential northwest corner, a few blocks from the area’s waterfront parks and within walking distance of the a thriving retail corridor that runs along Ditmars Boulevard and 31st Street.

Known for its various immigrant enclaves, Astoria’s relative affordability has made it a target neighborhood for young professionals in recent years. — Kyle Campbell

● CUSHMAN & WAKEFIELD
Anbau planning Hamilton Heights condos

Development company Anbau announced its acquisition of 620 West 153rd Street, an as-of-right new construction site for $22.5 million.
Located on the northern edge of Manhattan’s Hamilton Heights, the site consists of two two-story parking garages, with over 120,000 sellable square feet.

Anbau will develop two luxury residential condominium buildings with Hudson River views and a suite of amenities. The buildings will share a common landscaped courtyard and on-site parking.

“We believe in the strength of Hamilton Heights as an emerging neighborhood that will create long-term value for residents,” said Steve Glascock, president, Managing Partner of Finance and Construction at Anbau.

“620 West 153rd will offer an unprecedented living experience within steps of some of the finest cultural, academic and research institutions in Upper Manhattan.”

Goldman Sachs is providing pre-construction financing. Bob Knakal, Josh Kuriloff, Jonathan Hageman, and Patrick Yannotta at Cushman & Wakefield were retained by Verizon, the seller, to broker the transaction.

Construction will commence Spring of 2018.

● ONE COMMERCIAL REALTY
Bronstein closes on $43M Williamsburg buy

Barry Rudofskyʼs Bronstein Properties has closed on its purchase of 456 grand Street in Williamsburg.

The newly-developed mixed use building was sold by a partnership of RJ Capital Holdings and AB Capstonefor $43 million.

ONE Commercial’s David Chase, Josh Lipton and Andrew Levine, along with Asset CRG’s Michelle Abramov, brokered the sale of the 57,500 s/f property with has 53 apartments, two commercial units and a 17,500 s/f below grade parking garage.

The post SELLING POINTS: Camber closes on Bronx apartment buildings, D.A. closes in Astoria appeared first on Real Estate Weekly.

BEB Capital has acquired a 29-unit multifamily building at 238 East 106th Street in East Harlem .

Lee Brodsky, CEO, said the property was purchased from 106th Street Realty Development Corp. for $14.25 million, with tax-deferred proceeds from BEB Capital’s recent sale of the Corinthian Parking Garage at 330 East 38th Street in Manhattan.

BEB Capital is refocusing its business plan on the East Harlem community and other New York City neighborhoods.

The firm acquired the Corinthian Garage for $10.275 million in 2009, sold it for $16 million last fall, and used Section 1031 of the IRS code to reinvest the gains in the East Harlem property.

“The Corinthian sale was a pivotal event in our business strategy,” said Brodsky. “Making use of the 1031 rules enabled us to leverage our success at the Corinthian by building our presence in East Harlem.

“We are committed to using our entrepreneurial creativity to develop this emerging market. East Harlem is a great place to invest, and the future extension of the Second Avenue subway line makes the area’s prospects even brighter.”

Brodsky said that the company is in the planning stages for a second East Harlem development.

BEB is putting new emphasis on institutional grade investments.

“Our company has grown dramatically in recent years, and having further honed our core competencies and intergenerational experience, we are now strategically developing critical mass in East Harlem’s multifamily inventory, building a core market there and helping the neighborhood achieve its very high potential,” added the CEO.

The newly acquired property at 238 East 106th Street was constructed in 2016. The 18,860 s/f eight-story building consists of 29 free-market rentals and nine parking spaces.

Meridian Capital Group represented the seller, buyer and obtained the financing for the transaction. BEB Capital was launched in 2016 by the Brodsky family, known for its long history in real estate development.

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SL Green will re-invest $70 million in proceeds from the sale of a Gowanus development site into its own stock.

The company confirmed on Monday that is has sold 175-225 Third Street in Gowanus for $115 milliopn.

SL Green owned 95 percent of the property in a joint venture with Kushner and LIVWRK, who had originally planned to build a housing and “artists maker” development along with an esplanade along the canal. The three-acre development site was acquired by the joint venture in 2014 for $72.5 million.

In a statement, SL Green said the sale is expected to close in the first quarter of 2018 and will generate net proceeds to the REIT of approximately $70 million.

Proceeds from the sale are expected to be used to continue the company’s stock repurchase program, which it expanded in December 2017 to $1.5 billion.

To date, the Company has repurchased a total of 11,854,335 shares at an average price of $100.30.

“Our ability to readily monetize assets at attractive valuations in a market where there is significant appetite for investment enables us to repurchase our stock at a meaningful discount to the private market valuation of New York City real estate, while maintaining liquidity for future investments and conservative leverage levels,” said Andrew Mathias, president of SL Green.

“SL Green is pleased to have partnered with Kushner and LIVWRK on this investment, which yielded excellent results for all stakeholders in the joint venture.”

SL Green has been working to build shareholder value through a buyback program launched in the summer of 2016. the move has helped boost investors confidence in the stock, according to market analysts.

RFR Realty was the buyer of the Gowanus site, according to Crains. RFR has previously partnered with Kushner Cos. to buy an office complex in Dumbo.

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Investment sales remain on the decline in New York City, dropping below $17 billion during the second half of last year.

Total consideration dropped by roughly 37 percent year-over-year as the number of transactions fell from 2,880 in 2016 to 2,334 in 2017 and investment declined in four out of the five boroughs, according to a report compiled by the Real Estate Board of New York.

“The investment sales market is 30 months into a correction,” Cushman & Wakefield chair Robert Knakal said. “It hasn’t gotten a lot of attention, but we’ve been in a correction for a while and I think we’re actually starting to come out of the correction, it was a mild correction, but it was also a mild recovery after the recession.”

Although Manhattan remained the driving force for real estate spending during the second half of 2017, accounting for 60 percent of total sales in the city, year-over-year investment dropped by 40 percent, from $17 billion to $10 billion. The number of transactions dropped from 612 to 452.

In Queens, total investment dropped from $3.5 billion to $1.9 billion, while Staten Island saw sales drop from $492 million to $203 million.

With 783 sales, Brooklyn saw the greatest number of transactions of all the boroughs during the second half of last year, just as it did during the second half of 2016. However, total spending dropped from more than $4.3 billion to less than $3.2 billion.

Headlined by the $115 million sale of the Concourse office building at 260 East 161st Street, the Bronx was the only borough to see investment activity move in a positive direction, with total consideration ticking up three percent, from $1.45 billion to $1.49 billion despite there being 17 fewer sales there between July 1 and December 31.

“The current demand and value of Bronx properties, as seen in our most recent New York City Residential Sales Report, carried over to investment property trades in the second half of 2017,” REBNY president John H. Banks said. “While the pace of completed transactions lagged citywide in 2017, investors continue to show interest in income-producing properties across the five boroughs.”

Investment sales values declined citywide by more than a billion dollars from the first half of 2017 to the second.

Investment has fallen steadily since the first half of 2015, when New York saw $37 billion in real estate consideration. Aside from a singular uptick during the second half of 2016, the total number of sales has fallen in each six-month report.

REBNY’s most recent study shows the decline spanning all asset classes, with the hotel sector bearing the greatest percent drop, going from $3.1 billion in the second half of 2016 to $1.2 billion last year, a 60 percent decline.

Meanwhile, the office market, which accounts for nearly a quarter of investment spending, saw its value tumble from $7.5 billion to barely $4.1 billion.

Despite the continued downturn, Knakal said he’s optimistic about the market moving forward, pointing to a slight uptick in sales toward the tail end of last quarter and a bottoming out of property values throughout the city, mirroring similar conditions that preceded previous turnarounds.

“We’re seeing the same market conditions we had in 1993 and again in 2010,” he said. “It’s following the exact same playbook that we’ve seen in the past.”

Last year still had its fair share of impressive sales, capped off by a pair of half-billion-dollar deals in Manhattan: the ground lease at 375 Hudson Street, which sold for $580 million, and 1440 Broadway, which went for $520 million.

Brooklyn’s priciest property was the Leverich Towers Hotel Dormitory at 79 Willow Street, which sold for $203 million. Meanwhile, Queens saw two transactions hit nine digits: the apartment complex at 7-11 Seagirt Avenue in Far Rockaway, which sold for $135 million, and the Assi Plaza supermarket at 131 39th Avenue in Flushing, which traded for $115 million.

Shimon Shkury, founder and president of Ariel Property Partners, also sees investment activity picking up in 2018 as the correction dust settles. He expects institutional investors to target larger aspects while prices either increase or stagnate.

“Investors appear to be approaching 2018 with a firmer grasp of the risks and rewards that today’s market presents, which should translate to more deal flow,” Shkury said. “Sellers and buyers are becoming more realistic with their pricing expectations and the new tax policy should help multifamily property owners.”

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Richard Mackʼs Mack Real Estate Credit Strategies funded a $127 million construction loan for Sugar Hill Capital Partners redevelopment of One Prospect Park West in Brooklyn.

Meridian Capital Group arranged the financing for the multifamily project. One Prospect Park West is a nine-story mixed-use building located on the northwest corner of Prospect Park. Previously a senior living facility, the pre-war building — the largest structure on Prospect Park West — was acquired vacant in October 2016 with intent to redevelop the site into a luxury residential building.

The loan was negotiated by Meridian senior managing director Ronnie Levine, vice president Shamir Seidman and vice president Ben Jacobs, who are all based in the company’s New York City headquarters.

“Meridian previously arranged the acquisition financing for One Prospect Park West and is proud to again have represented Sugar Hill Capital Partners in negotiating financing for this transformative project,” said Levine.

Kasowitz represented Sugar Hill Capital Partners in securing the $97 million construction loan and $30,000,000 mezzanine loan. The Kasowitz team was led by Douglas Heitner and included David Szeker, Jessica Wald and Christy Mazzola. The team also represented Sugar Hill on the original acquisition.

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Arch Companies and its partners have secured a $45 million construction loan from Maxim Capital Group to fund its latest development project at 11 Greene Street in SoHo.

Construction of 11 Greene Street, a mixed-use project, is well underway and vertical building has commenced.

Upon completion, the development will offer 31 loft inspired luxury rental apartments and 11,650 s/f of ground-floor retail space with 200 feet of frontage along Greene Street.

With financing secured, Arch Companies anticipates completion of the Gene Kaufman-designed building in 2019.

Arch has recently moved into its new corporate headquarters at 524 Broadway. The firm which launched in January 2018 has already closed on the acquisition of a value-add multifamily property and a single-tenant office building in the greater LA area as well as a development assemblage in the Edgewater neighborhood of Miami.

“Arch has made its mark with new acquisitions and ground up development, and it hasn’t taken the company long to demonstrate its entrepreneurial spirit,” said Brian Steiner, principal and co-founder of Maxim Capital Group.

“At Maxim, we appreciate pioneers and in our commitment to lending, visionary companies like Arch are top-priority on our list of potential partners. We look forward to seeing 11 Greene Street progress and sharing in this success.”

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● AVISON YOUNG
Orbach sells The Canterbury

The Orbach Group has sold The Canterbury rental building on the Upper West Side for $32.5 million.

Avison Young’s Tri-State Investment Sales Division team brokered the sale of the 42,186 s/f 48-unit rental building located at 204 West 108th Street.

With the decline in the investment sales market, the deal represents one of the larger single property trades that Upper Manhattan has seen in recent times.

Sam Schertz, associate director at Avison Young, s was the sole broker in the transaction, representing both seller and the buyer, Arkar Inc.

The New jersey-based Orbach Group bought The Canterbury for $27.5 million in 2015.

“The Upper West Side is one of the hottest residential markets in Manhattan and the pre-war Canterbury building is one of the most recognized and charming properties in the entire area,” said Schertz.

“The property’s location, excellent condition and strong cash flow made this an attractive investment and it’s rare that an asset as appealing as the Canterbury becomes available. Avison Young was pleased to be able to strike a deal that was beneficial for both sides.”

Originally built in 1915, the six-story 204 West 108th Street is a low-rise elevator-served rental property featuring two to five-bedroom units as well as a courtyard, laundry room and storage facility. The property is situated near Columbia University and both Riverside Park and Central Park as well as several major transportation lines. Many of the units in the building have been recently renovated.

● CUSHMAN & WAKEFIELD
Institutional money bids up industrial offering

Global investment giant Barings Real Estate has paid $65 million for two industrial buildings in Avenel, NJ, on behalf of an institutional investor.

191 Blair Road and 215 Blair Road were sold by the Sitex Group in a deal orchestrated by Cushman & Wakefield’s East Rutherford, N.J.-based investment sales team .

“We maintain a positive outlook on the industrial sector and are pleased to acquire these high-quality, well-located properties that offer the opportunity to add value to our investors,” stated Mike Zammitti, Head of U.S. Real Estate Equity for Barings Real Estate.

Located at Exit 12 of the NJ Turnpike/I-95, the sales included a fully-renovated, 175,182 s/f building and a newly constructed, 198,854 s/f building. Both structures were unoccupied at the time of marketing.

“These vacant-forward sales demonstrate the sustained appeal of well-located industrial product in our region,” noted Cushman & Wakefield investment specialist Gary Gabriel, who represented the seller and procured the buyer with Andrew Merin, David Bernhaut, Brian Whitmer, Kyle Schmidt and Andrew MacDonald.

“Both buildings exhibited significant leasing interest prior to close,” Schmidt added. “Users are drawn to the properties’ Port location, highly functional building designs and site layouts that accommodate highly sought-after excess trailer parking.”

● GFI REALTY
$22M Far Rockaway trade

GFI Realty Services brokered the $22 million sale of 22-11 New Haven Avenue, a six-story, 108-unit apartment building in Far Rockaway, Queens.

22-11 New Haven Avenue.

The seller was real estate investor Irving Langer, of E&M Associates, who had owned the building since 2014. The buyer, Vincent Ragosta, purchased the property as the back half of a 1031 exchange, following the sale of two Jamaica properties in August 2017. Katz also represented Ragosta in the Jamaica transaction.

The 96,310 s/f property is comprised of 14 studio apartments, 18 one-bedrooms, and 76 two-bedrooms, as well as 21 parking spaces.

GFI’s Yosef Katz was the broker. “Far Rockaway has emerged as a desirable alternative to nearby neighborhoods in Queens and Brooklyn, with relative affordability, access to the A train, and a recently launched ferry service,” said Katz.

“The buyer recognized Far Rockaway’s significant demand and was very eager to acquire quality apartment product with upside opportunity.”

● CUSHMAN & WAKEFIELD
Morningside site fetches $20M

Cushman & Wakefield arranged the sale of 415 West 120th Street, a 7,569 s/f, 75 ft. wide development opportunity in Morningside Heights for $20.3 million.

Hall Oster, Robert Knakal, Robert Shapiro, Jonathan Hageman and Teddy Galligan represented the seller.

The site offers 45,565 buildable square feet for a residential property, which can be expanded to 49,198 buildable square feet with the addition of a community facility.

“The property represents a prime opportunity to build ground-up new construction in an area that seldom sees new development,” said Oster. “The neighborhood’s proximity to some of the most prestigious institutions in the city including Columbia University, Teachers College and Barnard College provides an ideal location for student housing focused development.”

The neighborhood is experiencing significant growth driven by the development of the Manhattanville Factory District, a one million square foot mixed-use project, and Columbia’s $7 billion Manhattanville campus.

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Two large industrial properties that came off the market in Queens this week are being repositioned for e-commerce or logistics tenants.

In northern Queens, the Bulova Corporation sold its massive warehouse on the Brooklyn-Queens Expressway, a mere stone’s throw from LaGuardia Airport, for $25.2 million. On the opposite end of the borough, a parking lot adjacent to John F. Kennedy Airport traded hands for $25.4 million.

Buyers at both sites are ready to invest more into their new assets to get them ready to facilitate directly-to-consumer deliveries.

Terreno Realty, the company that bought the 83,000 s/f Bulova complex, plans to raise the clearance at the nearly-60-year-old warehouse, tear out offices and increase loading capacity. Meanwhile, Triangle Equities will construct a three-story, 300,000-s/f distribution center equipped to handle air cargo that arrives through JFK.

“It’s very rare, in New York City, to find a property of this size and scale on a major road, the Belt Parkway, with proximity to the Van Wick and JFK,” Josh Weingarten, Director of Capital Markets at Triangle Equities, said.

“We’ve seen for some time this larger trend in the economy of consumers going from buying things in store to buying things online, so we’re trying to stay ahead of the curve by building a last-mile distribution facility to piggyback on that paradigm shift.”

Online shopping habits have driven warehouse vacancy rates in Metro New York to their lowest in a generation while new zoning laws that favor residential and commercial development in former industrial areas have hamstrung the supply.

Although industrial property is at a premium throughout the five boroughs, Queens is a particularly desirable outpost because of its seven industrial business zones: Jamaica, Long Island City, Maspeth, Ridgewood, the Steinway section of Astoria and Kennedy Airport. These districts offer tax incentives to companies that relocate within their boundaries.

“The biggest selling point is location,” said Brad Cohen, part of the Eastern Consolidated team that brokered the Bulova deal. “Proximity to all the boroughs, to the Bronx, Queens, Brooklyn and Manhattan make it an ideal location for a third-party logistics space, Fed-Ex, UPS, any major carrier or anybody doing their own deliveries.”

Located near the BQE-Grand Central Parkway exchange, the Bulova space will not be focused as intently on e-commerce as its southern counterpart. Also, LaGuardia primarily handles passenger travel while the bulk of the city’s air cargo comes in through either JFK or Newark Airport.

With two large parking lots, the 3.7-acre Bulova parcel could also be used for a car dealership, fleet storage or airport parking, Cohen said, though he noted last-mile delivery facilities are in high demand anywhere close to Manhattan.

“It’s really about getting that last mile into the city,” he said. “You can no longer be a couple hundred miles out and still expect to compete with same-day delivery.”

In addition to its proximity to Manhattan, Queens also has some homegrown advantages, Weingarten said.

“Queens provides a lot of access, because of its highways, to the rest of the city,” he said. “Two million people live in Queens and more millennials are moving there because they’re being priced out of Brooklyn, so you see a high demand among retailers to be in Queens, too.”

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