This Week's N.Y. Deal Sheet
The sales market in New York City picked back up last week as Savanna sold two buildings and a handful of other $50M-plus deals crossed the wire.
TOP SALES
Savanna has shed one of its Manhattan properties, selling a SoHo office and retail building for $98.2M, according to records filed with the city Thursday. Tokyo Trust Capital bought the 65K SF building at 434 Broadway, which has retail and office space and features tenants like clothing store Champion, venture capital fund General Catalyst Partners and developer RAL Cos. MC Real Estate Partners partnered with Tokyo Trust Capital on the purchase, per The Real Deal. Newmark Knight Frank's Brett Siegel and Evan Layne arranged the deal.
***
Savanna, along with partner Hornig Capital Partners, sold the Bruckner Building at 2417 Third Ave. in the Bronx for $65M, JLL announced. Bobby Zar and James Tamborlane’s ZG Capital Partners was the buyer, according to the news release. JLL’s Bob Knakal, Stephen Palmese, Jonathan Hageman, George D’Ambrosio and Frank Dalicandro arranged the sale.
***
FBE Limited paid $57.5M for five properties in Gravesend from Thomas Gagliano, whose family had owned them for five decades, The Real Deal reports. The addresses are at 1900 Shore Parkway, 1894 Shore Parkway and along Bay 41st Street and Hunter Avenue, per the publication. FBE scored $32.8M for the purchase from Signature Bank.
***
David Werner, Nightingale Group and Wafra closed on their $175M purchase of the leasehold at 111 Wall St., Crain’s New York Business reports. The Korein Family owns the land underneath the 1M SF property, and Zurich Insurance sold the lease, which has 49 years remaining, to the trio of investors. SL Green and an unnamed partner loaned the group $145M for the acquisition, NKF announced in a release. NKF’s Jimmy Kuhn represented Zurich, and NKF's Dustin Stolly and Jordan Roeschlaub, Nick Scribani, Chris Kramer, Seth Hall and John Gallagher arranged the financing.
***
Prologis reached a deal to pay $60M for 150 East 52nd St., a 2-acre site in Sunset Park, The Real Deal reports. DH Property Holdings’ Dov Hertz sold the building, where nonprofit City Harvest is set to bring its new headquarters. The property features 35K SF of parking and loading docks. JLL’s Rob Kossar, Tyler Peck and Stephen Palmese represented Prologis. Kossar, Paul Mas, Adam Citron and Ellen Herman, all of JLL, represented City Harvest in the lease deal with Hertz. JLL’s Leslie Lanne represented Hertz on the lease to City Harvest and the sale to Prologis.
***
Developers Loketch Group and Meral Property Group paid $28.5M to the Salvation Army for a warehouse at 22 Quincy St., The Real Deal reports. The developers scored $50M from S3 Capital Partners, per Commercial Observer, to fund a conversion of the industrial building into a residential complex.
TOP LEASES
Strike Technologies has expanded and renewed its lease at Marx Realty’s 545 Madison Ave., the landlord announced. Strike is a subsidiary of Global Trading Systems; the new deal is for five years. The firm is taking 14K SF on the 15th and 16th floors, and is adding another 11K SF space on the 17th floor of the 18-story building, which Marx took control of after foreclosing on Thor Equities last year. The asking rent in the deal was $95 per SF.
***
Taco Bell has signed a lease for its new cantina concept at the Paramount Building in Times Square. The 4K SF restaurant, which will offer small plates and alcoholic beverages, is expected to open this summer at 1501 Broadway, owned by a group of investors including Levin Properties. SCG Retail's David Firestein and Jenna Heidenberg represented Taco Bell, and NKF's Ben Birnbaum, Ross Berkowitz, Jason Wecker and Andrew Taub represented the landlords.
***
Three tenants have signed on for space at the Rudin Family’s 55 Broad St. for nearly 20K SF combined. SYSTRA Consulting, a Paris-based engineering consultant, took just over 14K SF in a 10-year deal, per the landlord. Boutique law firm Schpoont & Cavallo LLP took nearly 4K SF on the 18th floor, and nonprofit organization Squash and Education Alliance leased nearly 2K SF on the 14th floor. Rudin was represented in-house by Kevin Daly, while Savills’ Lance Leighton, Evan Margolin and Charles Goldman represented SYSTRA Consulting and Schpoont & Cavallo was represented by Michael Hennessy of Park Avenue International Partners. Savills’ Peter Cipriano represented SEA.
***
Aurora Capital Associates, Allied Partners and A&H Acquisitions inked a deal for Makeup brand Milk Makeup to take almost 18K SF at The Prince Building at 568 Broadway, the landlords announced. The deal will allow the company to move its office from 450 West 15th St. in Meatpacking. The asking rents in the building are between $85 and $125 per SF in the office part of the building and from $400 to $750 per SF in the retail part of the building.
***
Rolex is taking a 3,500 SF lease at Midtown Equities’ 29 Ninth Ave. in Meatpacking, The Real Deal reports. Rolex will pay $2.1M a year for the retail space in Google's New York nexus. CBRE’s Andrew Goldberg represented Rolex. Cushman & Wakefield’s Joanne Podell and Mary Clayton arranged the deal for landlord Midtown Equities.
TOP FINANCING DEALS
Morgan Stanley loaned $50.4M in permanent financing to Finkelstein Timberger East Real Estate for five multifamily properties in the Bronx. The properties are at 2 Minerva Place, 901 Walton Ave., 984 Sheridan Ave., 1460 Macombs Road and 4040 Bronx Blvd. In total, they feature 366 total units. Bryan Manz, Rob Serra and Emil DePasquale of Black Bear Capital Partners arranged the financing, per a news release.
***
The Morgan Group locked down $142.6M from Morgan Stanley for 18 multifamily properties in the Bronx, Commercial Observer reports. The debt has three 10-year, interest-only loans. Black Bear Capital Partners’ Bryan Manz, Rob Serra and Emil DePasquale arranged the financing for Morgan Group.
***
Signature Bank loaned $50M to Stuart Podolsky for the hotel at 500 East 62nd St. in Lenox Hill, PincusCo reports. The deal closed in December and was recorded with the city last week. The property features 133K SF feet of built space, per the publication.
