BIG HOTEL JV; THE DEAL SHEET
| Holy hospitality! Pebblebrook Hotel Trust and Denihan Hospitality Group entered into an JV agreement in which Pebblebrook will invest in six upscale Manhattan hotels owned by affiliates of Denihan, valued at $910M. | ||
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| The six hotels are Affinia Manhattan, Affinia Shelburne, Affinia Dumont, Affinia 50, Affinia Gardens, and The Benjamin, which total 1,630 guestrooms and will increase to 1,730 guestrooms following the completion of the Affinia Manhattan this fall. The hotels are currently subject to $600M in existing first mortgage and mezz debt, and Pebblebrook will make a $152M equity investment in the JV in exchange for 49% interest. Both firms will share joint control of all operating and financial decisions. The transaction’s expected to close within the next 90 days. Want to hear more about this hot market? Join Bisnow on July 27th for our NY Hospitality Investment Summit, which includes Denihan EVP of acquisitions and development Ellen Brown. Great schmoozing, too! For the full list of speakers and to register, click here. | ||
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| Sales Transactions | ||
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| Fortuna Realty Hotel SoHo purchased a 50k SF “as of right” development site at 523-25 Greenwich St from Patriot 523 Greenwich St for $12.7M. Eastern Consolidated’s Alan Miller,Roberto Ortiz, and Paul Nigido brokered the deal. A 20-plus story hotel is planned for the site.***Massey Knakal sold two properties: a 4,500 SF townhouse at 11 Saint Luke’s Pl for $9M cash (seller rep: MK’s James Nelson; buyer rep: Sotheby’s Meg Siegel); and a commercial condo at The Cove Club Retail at 2 South End Ave C-1 for $3.6M cash (seller rep: MK’s Nick Petkoff). *** Interstate 330 purchased the 29k SF office/flex building at 330 Franklin Turnpike in Mahwah, NJ from Raia Properties for $2.7M. NAI James E Hanson’s Kenneth Lundberg brokered the deal. *** ABS Partners Real Estate and Brause Realty acquired 587-599 Main St in New Rochelle at an auction for $2.6M, each having 50% interest in the debt-free site. Plans for the 40k SF site include enhancing and leasing the existing retail and office space, plus a repositioning. Tranzon Integrated Property Group’s Joshua Olshin and Oren Klein handled the sale. Lease Transactions Champion Architectural Window and Door signed a 10-year, 100k SF lease at 250 Kennedy Dr in Hauppauge, Long Island, relocating from Syosset facility. Abraham + Martin’s John Belitsky and Ryan Teed represented the tenant, while Rechler Equity's Ted Trias represented the landlord in-house. *** | ||
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| The Educational Opportunity Center and the Westchester Department of Health renewed two spaces totaling 50k SF at 20 South Broadway in Yonkers. CBRE’s William Cuddy Jr and Kevin McCarthy repped owners Abbey Road Advisors and AEW Capital Management.***Mr. Youth inked a 27k SF sublease at 225 Park Ave South, expanding its space by more than 100%. Studley’s Nicholas Farmakis and Jason Perla repped the subtenant, while Cushman & Wakefield’s Tim Gibson and Bill Levitsky repped sublandlord International Masters Publishers. *** Two talent agencies inked deals at 41 Madison Ave: The Gersh Agency, which renewed 13k SF for 10 years (tenant rep: Cushman & Wakefield’s Augustus Field IV) and Trident Media Group, which renewed 13k SF for 10 years (tenant reps: CBRE’s Keith Cody and Cregg Rothkin). Owner Rudin Management Co was repped in house by Tom Keating for Gersh and Robert Steinman for Trident. *** Westside Market leased its fourth Manhattan location, taking a long-term 16k SF lease at 2589 Broadway. Winick Realty Group’s Tatiana Jung and Richard Smith repped the tenant, while Winick’s Jeff Winick and Ann La Centra repped the owner. *** Dickstein Shapiro signed a 10-year, 15k SF lease at One Stamford Plaza in Stamford, Conn. CBRE’s Colin Reilly repped the tenant, while Margaret Carlson and Steve Lash repped owner RFR Realty in-house. *** Wedbush Securities is relocating to 12k SF at 90 Park Ave. UGL Services’ Joel Weinberg and Dirk Hrobsky repped the tenant, while CBRE’s Brad Needleman and Geoffrey Robson repped the sublandlord. Vornado is the building’s owner. *** Holtzbrinck Publishing Holdings inked a long-term, 12k SF lease at American Metro Ce nter in Princeton, NJ. Colliers International repped the tenant, while Daniel Ackerman repped the JV of Meritage Properties and Lincoln Equities Group in-house. *** KarmaloopTV inked a 10k SF sublease at 122 W 27th St. Newmark Knight Frank’s Bill Mendelson repped the subtenant, while Colliers International’s Perry Mesmer repped sublandlord Sonic Boom. *** The Anchorage at 660 Steamboat Rd in Greenwich, Conn. saw three leases: Cairn Capital’s long-term, 3,200 SF lease (tenant rep: CBRE’s Michael Nelson); Sidney Frank Importing Co’s 1,200 SF lease; and Withers Bergman’s 4,300 SF extension (tenant rep: JLL’s Paul Tortora). Newmark Knight Frank’s Steve Banker, Paul Gojkovich, and James Ritman repped owners Stuart and Steve Berni. *** Fushimi is opening its third NYC location, taking 7,200 SF at 475 Driggs Ave in Williamsburg, Brooklyn. Winick Realty’s Diana Boutross repped the tenant and owner Driggs Development. *** CityMD signed a 6,000 SF lease at 37 W 23rd St. Prudential Douglas Elliman’s Faith Hope Consolo and Joseph Aquino repped the landlord. *** Antenna Audio extended and expanded its lease into 5,900 SF for six years at MerrittView in Norwalk, Conn. Cushman & Wakefield’s Paul Kauffman and Torey Walsh repped the tenant, while Jeffrey Newman and Kimberly Zaccagnino repped owner Malkin Properties in-house. *** Barrington Nutritionals inked an early 3,200 SF lease renewal at 5000 Mamaroneck Ave in Harrison, NY. Colliers International’s Mike McCarthy repped the tenant, while Jeffrey Newman repped owner Malkin Properties in-house. *** Chase Manhattan Bank signed a 3,000 SF lease extension at 640 Franklin Ave in Franklin Square, Long Island. Island Associates’Roger Delisle repped the landlord. *** New Computech inked a 2,800 SF lease at 39 Broadway. CBC Hunter Realty’s David Danick repped the tenant, while Tom Hettler repped owner Lawrence Group. *** City Cookhouse signed a 1,000 SF lease at 1325 Fifth Ave. Prudential Douglas Elliman’s Faith Hope Consolo, Joseph Aquino, and Arthur Maglio repped both the tenant and landlord. Financing GCP Capital Group arranged over $48M in financing, including:$13.2M for two six-story elevator apartment buildings containing 127 units on E 140th St in the Bronx (arranged by Paul Greenbaum);$12M for a $18M defaulted note that closed in less than 30 days for three multifamily buildings totaling 237 units and three stores in the Bronx (arranged by Adam Brostovski); $6M for a seven-story apartment building containing 98 units and $5.8M for a nine-story elevator apartment building containing 90 units, both in the Bronx (arranged by Alan Perlmutter). *** | ||
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| Holliday Fenoglio Fowler arranged $43M in fixed-rate financing for the 175k SF Boulder Run Shopping Center in Wyckoff, NJ. The firm’s Thomas Didio and Michael Klein arranged the deal through Allstate Investments on behalf of Hekemian & Co.Construction & Development The seven-month public review has started for the transfer of the six-acre Admirals Row at the Brooklyn Navy Yard from the federal government to the City of New York. After the transfer, the site will become part of the Brooklyn Navy Yard, and Brooklyn Navy Yard Redevelopment Corp will oversee the redevelopment of the site. This includes a 74k SF supermarket, 79k SF of additional neighborhood retail space, and 127k SF of industrial space. The Department of City Planning certified the project’s land-use app, beginning the public review process. The project is expected to create 500 permanent retail and industrial jobs and hundreds of construction jobs. *** The Empire State Building Co awarded a major contract to Otis to fully refurbish and modernize the building’s 68 elevators, the final component of the $550M renovation and modernization project at the Empire State Building. *** | ||
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| Avalon North Bergen broke ground at Kennedy Boulevard and 56th St in North Bergen, NJ. It will include 164 luxury apartments and 17k SF of on-site retail.***The Sheraton New York Hotel and Towers completed Phase 1 of its $150M renovation, completely renovating and expanding the size of 1,080 guest rooms and suites, adding a Cisco TelePresence suite, and redesigning its Sheraton Club Lounge. It will begin Phase 2 in December—updating the remaining guest rooms—and will finish in April of next year. Wilson Associates is leading the renovations. Executive Moves Kenneth Meszkat joined CBRE as a VP in its investment properties group. He was previously with RREEF, and held a position at Deutsche Bank. He’s an NYU and Boston College grad. *** Two joined JLL: Alejandro Kaisin as VP of strategic sourcing and procurement, based out of Stamford, Conn., and George Wittmann as SVP of technical operations, based out of NJ. Alejandro was previously with Pfizer, and is a University of Buenos Aires grad. George was previously with Merck, and is a Rutgers, NJIT, and Fairleigh Dickinson grad. *** Mark Roberts joined RREEF as managing director and global head of research, overseeing the research teams that support the firm’s global real estate investment process. He was previously with Invesco Real Estate, and also held a position at Club Corp International. He’s an MIT and University of Illinois grad. *** Patrick O’Malley and Jeffrey Donnelly joined UGL Services as SVPs and managing directors in its capital markets service group, assisting clients by managing complex financial issues and pursuing long-term value creation strategies. They both join from Spectrum Partners, where they were principals. *** Ken Konfong and Nicholas Forelli joined Muss Development. Ken will serve as SVP of property management, while Nicholas will be an AVP and will be involved in leasing for all of the firm’s properties. Most recently, Ken was the director of operations for Sky View Parc and Sky View Center in Queens, and also held positions with Pyramid Management Group and the NYC Economic Development Corp. He’s a Touro and University of Miami grad. Nicholas was previously with Rosen Associates Management Corp and held positions at Welco Realty and Massey Knakal. He’s a UMASS grad. *** Cushman & Wakefield promoted a group of retail pros: Michael O’Neill to senior director, Matthew Siegel to senior director, David Tricarico to senior director, Steven Soutendijk to director, Thomas Citron to director, and Jonathan Scibilia to associate director. *** JLL promoted Giles Wrench, who heads the international desk in NY, to international director. He oversees a team in NY that supports US clients with real estate needs across the globe, and has been involved in transactions across Europe, Asia, and the Americas. Prior to JLL, he was with Staubach and BNP Paribas. He’s a University of Westminster and NYU grad. |
