Savanna Strikes Again, Spending $100M On Chelsea Office Building
Savanna is buying a Chelsea office building, going under contract to acquire a 12-story property for just shy of $100M.
The firm has agreed to buy the 126K SF building at 48 West 25th St., which sits between Broadway and Sixth Avenue, the New York Post reports. The 1920s building is owned by the Klapper family, which bought it in the 1970s.
The family owns Superior Sewing, which has 25K SF in the building, paying what is described as “well-below market rent” on a short-term lease. Cushman & Wakefield’s Adam Spies, Doug Harmon, Adam Doneger and Marcella Fasulo brokered the deal for the seller.
Savanna, which bought 5 Bryant Park earlier this year for $640M in one of the biggest investment sales of the year, also sold its office building at 540 West 26th St., known as Chelsea540, for $247M.
The city’s investment sales market has chilled since the peak in 2015, but there have still been several high-profiles deals this year — a number of them in Chelsea.
Google bought Chelsea Market, for example, from Jamestown for $2.4B. L&L Holding and Normandy Real Estate Partners paid $880M for Terminal Stores, a 1.2M SF warehouse in West Chelsea, in a deal that closed this week.
