WHAT'S HOT... AND NOT; THE DEAL SHEET
| Are you an investor or developer looking for an opportunity in this post-recession world? Well, step right up, because Gibson Dunn partner Andrew Lance has a few for you. He’ll be talking about them at Bisnow’s New York Post-Recession Projects event Dec. 8, but we’ve got the sneak peek. | |||
 | |||
| Residential is one of the strongest sectors, and the supply constrained market particularly needs larger units (think three or more bedrooms) for families staying in the city instead of moving to the ‘burbs, he tells us. There’s also been healthy, renewed interest from investors and developers for rentals. Eyes are also fixed onurban retail development, particularly repurposing space. One popular concept: the retail condo, which developers are selling to quickly recapture a project’s capital project. And Class-A office space is also at a premium; we’re seeing a lot more trading ofminority interests (49%) so long-term owners can raise capital without surrendering a blockbuster building. | |||
 | |||
| One sector that’s cooled down slightly is hospitality. (Above isBisnow's July hospitality investment event.) It’s not because operators have turned the air conditioning up. Over the past year, developers and investors took advantage of the underserved market to expand the presence of national brands and add more keys in a tight market. However, capital markets volatility has adversely affected hotel REITs, so the activity we do see in that sector will be without these REITs participating. Where’s your opportunity? Find out by joining Andrew, Bentall Kennedy's Martin Standiford, The Gotham Org'sMelissa Pianko, Greenberg Traurig’s Rob Ivanhoe, and LePatner & Associates’ Barry LePatner Dec. 8 at The NYC Bar Association. Plenty of schmooze time, too! Sign up here. | |||
| SALESAndré Balazs Properties (owner of The Standard) purchased the 145-room Cooper Square Hotel from Westport Capital Partners for an undisclosed price.*** American Realty Capital New York Recovery REIT acquired a fee-simple interest in a 8,600 SF retail condo at 122 Greenwich Ave fromHines and RFR for $22.5M. The space is at the base of the 30-unitOne Jackson Square residential condo development. JLL repped the sellers. *** A private investment group purchased a retail condo at the ground floor of The Douglass Condominium at 2110 Frederick Douglass Blvd from BRP Development Corp and Goldman Sachs’ Urban Investment Group for $2.4M in a 1031 exchange. Ariel Property Advisors’ Michael Tortorici, Victor Sozio, and Shimon Shkurybrokered the deal. LEASES Smith Electric Vehicles Corp signed a 90k SF industrial lease at295 Locust Ave, Bronx for a new clean technology manufacturing facility. James MacDonald repped owner Simone Development in-house. *** | |||
 | |||
| Human Rights Watch inked a 70k SF lease at The Empire State Building, renewing its existing 46k SF and expanding by an additional 24k SF. Newmark Knight Frank’s Brian Waterman, Larry Bank, Ken Kronstadt, and Rick Kramer repped the tenant, while NKF’s Billy Cohen and Ryan Kass repped owner W&H Properties.***Oracle Corp signed a 60k SF lease at 120 Park Ave. CresaPartners’Marcus Rayner, Jane Roundell, and Justin Halpern repped the tenant, while JLL’s Paul Glickman and Diana Biasotti repped owner120 Park Avenue Associates. *** Infor signed a long-term, 32k SF lease at 641 Avenue of the Americas, and the lease contemplates the tenant will grow an additional 12k SF. Cushman & Wakefield’s Bruce Mosler and Adam Rappaport repped the tenant, while CBRE’s Peter Turchin andGregg Rothkin repped owner Atlas Capital Group. *** Common Ground inked a 10-year, 18k SF lease at 505 Eighth Ave. Cassidy Turley’s Mark Furst and David Lebenstein repped the tenant, while Newmark Knight Frank’s Eric Gural and Allen Gurevich repped owner Newmark Holdings. *** Skanska Railworks Joint Venture signed a five-year, 16k SF lease at 519 Eighth Ave. Spiegel Real Estate’s Ted Spiegel repped the tenant, while The Kaufman Org’s Steven Kaufman and Barbara Raskob repped the owner. *** Jen Kao signed a 10-year, 9,700 SF lease at 10 Hudson Square. Savitt Partners’ Marc Schoen, Michael Schoen, Brian Neugeboren, and Scott Kummings repped the tenant, while Peter Fontanettarepped owner Trinity Real Estate in-house. *** Phoenix Investment Adviser signed a 10-year, 7,500 SF lease at420 Lexington Ave. The Kaufman Org’s Loren Biller repped the tenant, while David Amsterdam, Meghan Holzhauer, and Cryder Bancroft repped owner SL Green in-house. *** Panera Bread inked a 4,600 SF lease at 10 Union Square East’s retail condo. Ripco’s Andrew Mandell repped the tenant, while Fred Posniak repped owner Malkin Properties in-house. *** Fidelity National Title Insurance Co signed a 4,500 SF lease at 188 Montague St, Brooklyn. Ingram & Hebron Realty and Colliers International repped the tenant, while Kraig Silver repped ownerThe Treeline Cos in-house. *** Karya Capital Management inked a 3,200 SF lease at 1330 Avenue of the Americas. CBC Hunter Realty’s Michael Okun repped the tenant, while RXR Realty’s William Elder repped the owner. *** Mark Fisher Fitness signed a 2,700 SF lease at 411 W 39th St. DHS Development Corp/City Connections Realty’s Chris Halliburtonand Brandon Himmel repped the tenant, while Corcoran’s Barbara Stone repped owner BKR Realty Corp. *** Envy Corp inked a 2,500 SF lease at 4261 Broadway. City Connections Realty’s Barry Fields repped both the tenant and ownerBLDG. *** A pediatric dental office inked a 2,000 SF lease at The Arias, a residential building at 150 Fourth Ave, Brooklyn. CPEX’s Ryan Condren and Eric Altschul arranged the deal. *** Fabergé is opening its first-ever US boutique in 1,400 SF at 694 Madison Ave. Robert K. Futterman & Associates’ Beth Rosen andZach Beloff repped the tenant, while Newmark Knight Frank’sJonathan Krivine repped former tenant Daum. *** Jay Godfrey is opening its first-ever boutique at the base of TF Cornerstone’s 95 Horatio luxury rental apartment building. Robert K. Futterman & Associates’ Karen Bellantoni and Caleb Petersenrepped the tenant, while Karen also repped the owner. | |||
| |||
| FINANCINGHFF arranged a $120M refinancing for nine full-service hotels totaling2,265 keys in New York, New Jersey, Pennsylvania, California, Florida, Massachusetts, Minnesota, and Texas. The firm’s Michael Tepedino, KC Patel, and Michael Gigliotti secured the adjustable-rate loan through JP Morgan Chase Bank on behalf of Investcorp. *** Ackman-Ziff arranged $84M in debt and equity for a 514k SF Class-A office complex on Long Island. *** Hidrock Realty secured two loans totaling $66M for the $126M development of two brand-new hotels at 960 Avenue of the Americas (167 rooms, October 2012) and 25 W 37th St (173 rooms, October 2013). BBVA Compass Bank provided a $36M loan for the former, while The Bank of Nova Scotia provided a $30M loan for the latter. *** GCP Capital Group arranged over $39M in financing, including:$26M for a land loan and pre-development financing for a project in Manhattan (arranged by Adam Hakim); $6.5M for a 73-unit, six-story elevator apartment building on St. Nicholas Avenue (arranged byDavid Sessa); and $4.5M for a 50k SF office building on Riverdale Avenue, Bronx and $2.1M for a 6,800 SF retail strip center onSteinway Street, Queens (both arranged by Adam Brostovski). *** Meridian Capital Group arranged nearly $33M in new mortgage financing, including: $20.5M for a 355-unit, eight-story multifamily building on West 131st Street (arranged by Moshe Majeski); $5.5Mfor a three-story, mixed-use building on Ninth Street, Brooklyn(arranged by Max Herzog and Michael Diaz); $2.6M for a 20-unit, four-story multifamily building on Fifth Avenue (arranged by Judah Hammer); and $2M for an 11-unit, five-story mixed-use building onLexington Avenue (arranged by Morris Diamant and Jacob Rochlitz). *** Meridian Capital Group also arranged refinancing for two Yonkersbuildings: $10M to refi 50 St. Andrews Pl and $6.3M to refi 28 Lamartine Terrace. The 10-year, fixed-rate loans were provided by a local savings bank at 4.75%. The firm’s Isaac Filler negotiated the deals. CONSTRUCTION & DEVELOPMENT | |||
 | |||
| The NYU School of Continuing and Professional Studies opened its newly renovated 117k SF campus at 7 E 12th St. The building was redesigned by Mitchell | Giurgola Architects and includes an atrium-style lobby with grand staircase, state-of-the-art classrooms, student lounges, private study rooms, computer labs, and conference space.*** ICS Builders and BKSK Architects completed the new $4.1M, 11k SF Community of the Holy Spirit St. Hilda’s House convent at 454 Convent Ave, West Harlem. The project team also includedWeidlinger Associates, Laszlo Bodak Engineer, Horton Lees Brogden Lighting Design, and Dennis Gray Horticulture. *** Mayor Bloomberg and other city officials broke ground on a 9,000 SF Key Food Supermarket in South Beach, Staten Island, the latest in a series of new or expanded supermarkets that have been created as a result of the City’s Food Retail Expansion to Support Health (FRESH) program. BUSINESS Fountain Equities acquired Glenmark Realty’s leasing team, which will now be known as Fountain Realty Group. *** Sperry Van Ness Commercial Real Estate Advisors launched an office on Long Island, based on Holbrook. Leading the team is prezDavid Madigan (formerly of Prudential Commercial). Also on board:Aric Schachner, Guy Canzoneri, Corey Gluckstal, Joseph Gargano, and Ben Levy. EXECUTIVE MOVES Brandon Singer joined Cushman & Wakefield as director of retail services, repping tenants and landlords throughout NYC. He was previously with Robert K. Futterman & Associates and is a George Washington University grad. *** Emanuel Edwards joined Argo Real Estate as director of management, overseeing the firm’s property management biz. He was previously with El-Ad US Holdings and held positions atGoodstein Management and Insignia Residential Group. He’s aFlorida International University and Rockland Community College grad. *** Anahita Rouzbeh and Darwen Hinton joined BAM Architecture Studio. Anahita was previously with Mihai Radu Architects and is aCornell and Imam Khomeini International University grad. Darwen was previously with Thagard Health Center and is a Florida Stategrad. *** Rose Associates promoted William Sandholm to CEO and J. Brian Peters to COO. William’s been with the firm for more than 40 years, and it’s the first time a non-family member has filled the top spot. Brian joined the firm in ’95, most recently serving as head of management. William is a Cooper Union and Pace grad, while Brian is a Johns Hopkins and Harvard grad. *** Cushman & Wakefield promoted Jared Horowitz and Alan Schmerzler to executive directors. Jared joined C&W in ’01 and has repped firms like Advance Publications, The Vitamin Shoppe, Krolle, and JP Morgan Chase. Alan joined in ’05 and was part of American Eagle’s flagship transaction at 1551 Broadway and Uniqlo’s lease at 666 Fifth. *** Cushman & Wakefield promoted Steven Soutendijk to senior director and Clark Finney and Jamie Katcher to directors. Steven’s been with C&W since ’04 and has repped both landlord and tenants in retail transactions. He’s a University of Virginia grad. Clark joined C&W in ’07 and closed 1.5M SF of leasing transactions the first half of ’11, including Nomura Securities’ 900k SF lease. Jamie joined in ’03 and is a University of Delaware grad. *** Cushman & Wakefield promoted Rory Murphy, Willard Overlock,David Berke, Jon Mayeske Jr., Diego Rodino Di Miglione, andEthan Silverstein to associate directors and Omar Farooq to senior associate. *** Hidrock Realty promoted Robert Kaplan to director of leasing andYvette Shin to director of marketing. Robert is responsible for leasing activity at Hidrock and has been with the firm since ’04. He’s aRutgers grad. Yvette, who coordinates marketing, has been with the firm since ’10 and is a Tufts grad. |
