This Week's N.Y. Deal Sheet
This week, the owners of the Grace Building locked down a big lease, Marriott snapped up a Union Square hotel and Sotheby's Auction House refinanced its headquarters.
TOP LEASES
Law firm Katten is taking 125K SF at Tishman Speyer’s 50 Rockefeller Plaza, The Real Deal reports. The firm and its 200 employees will move from 575 Madison Ave. next spring. The lease spans five floors, and asking rents weren’t made public. John Cefaly, Robert Lowe, Jon Herman and Evan Algier of Cushman & Wakefield represented the tenant, and the landlord was represented in-house.
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The Israel Discount Bank has agreed to lease more than 100K SF at the Grace Building near Bryant Park. Part of IDB's new space at the Brookfield and Swig Co.-owned building was previously leased to HBO, which is moving to Hudson Yards with its parent company, WarnerMedia. This lease is for 125K SF on the second, eighth, ninth and part of the 10th floors. Asking rents in the building, which sits at 1114 Sixth Ave. with views of Bryant Park, are around $100 per SF. Newmark Knight Frank’s Lance Korman, Brian Waterman and David Berke represented IBD. CBRE’s Peter Turchin represents the Grace Building, and Brookfield’s Duncan McCuaig helped broker the deal in-house.
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Knotel leased 56K SF at 60 Madison Ave., which is owned by the Moinian Group, Commercial Observer reports. Rents in the building are between $57 and $69 per SF, per the publication. There were no brokers on the deal, according to CO.
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CDL Last Mile Solutions leased 63K SF at a warehouse at 88-36 77th Ave., owned by Glendale Realty Co. and Brause Realty, Commercial Observer reports. Rents in the deal were $15 per SF. Sholom & Zuckerbrot Realty brokered the deal on the landlord side. Jill Pescatore and Lauren Curcio of Worth Property Group represented the tenant.
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E-commerce marketing platform Yotpo is leasing 27K SF as a sublease deal with SeatGeek at 400 Lafayette St., Commercial Observer reports. The deal is for three years and spans the entire fourth floor of the building. T3 Advisors’ Christina Jones, Eva Shih, Greg Hoffmeister and Jon Frisch brokered the deal for Yotpo. Savills’ Nick Farmakis, David Goldstein and Brad Wolk represented sublandlord SeatGeek.
TOP SALES
Marriott International bought the W New York in Union Square, the hotel giant announced in a release, paying $206M. The 20-story hotel has 207 rooms, and Marriott plans to transform the property at 201 Park Ave. South with a renovation. Westbrook Partners was the seller, per The Wall Street Journal.
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Avery Hall Investments, Tavros Holdings and Charney Development & Construction together bought three sites in Gowanus for $55M, The Real Deal reports. The sites are at 232 Third Ave., 532-542 Union St. and 495-499 President St. The Pontone family was the seller of the site, which is in an opportunity zone and could allow for some 233K buildable SF, per the publication, if Gowanus' rezoning is approved.
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Magna Hospitality Group paid Lam Generation $74.2M for 113 West 24th St., in Chelsea, PincusCo reports. A 380-room hotel is being built on the site, which is slated to be a 420-foot-tall Marriot, per a March New York Yimby report.
TOP FINANCING DEALS
BNP Paribas provided a $252M loan on 1334 York Ave., better known as Sotheby’s global auction house, Commercial Observer reports. HSBC loaned a $325M package back in 2015, per CO. In 2017, HSBC refinanced that loan with $311M.
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New York Community Bank loaned $46M to Glenmark Realty for 291 Broadway in Tribeca, Commercial Observer reports. The loan adds a $6.5M mortgage, per CO. New York Community Bank has been the property’s senior lender since 2002.
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Shanghai Commercial Bank loaned $66.8M to Columbia International, Commercial Observer reports, for an undeveloped Manhattanville site. The parcel at 402-422 West 126th St. had been slated for a hotel under the previous developer, but it didn't come to fruition. In 2017, Columbia paid $28M for the site.
