This Week's N.Y. Deal Sheet
Though lease activity in New York City picked up in the first quarter, the leasing market was slow the first week of the second, as was the city's investment sales market.
TOP SALES
Boston-based The Davis Cos. paid $62.5M for an industrial and retail building at 155-165 West 29th St., Crain’s New York Business reports. Amush Enterprises LLC sold the building, property records show. The sale occurred in two payments — one a year ago and one this month. The new owner filed plans to construct a 223-foot-tall, 166K SF, 17-story storage building last summer, New York YIMBY reported at the time.
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Highpoint Property Group sold a four-story, six-unit mixed-use building at 100 Second Ave. in the East Village for nearly $13.3M, property records show. Brooklyn-based company The Bramford LLC bought the property. A two-bedroom unit sold for $6.1M in February 2020 and a two-bedroom, two-bathroom last rented for around $4K per month in December, according to StreetEasy.
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Brooklyn-based Boomerang Development Group purchased a four-story Upper East Side office building at 323 East 79th St. from Spruce Capital for $13.7M, property records show. In early 2019, Spruce filed a permit to construct a 15-unit, 17-story condo building, New York YIMBY reported at the time. Boomerang has developed several condo buildings in Brooklyn, according to its website.
TOP LEASES
CVS inked a 12K SF lease for the ground floor and basement of Warren Street Associates’ 38 Warren St. in Tribeca, The Real Deal reports. The 10-story building, built in 1900 and dubbed the Keystone Building, was redeveloped with 24 condo units above the retail in 2001, according to StreetEasy. CVS’ competitor, Duane Reade, recently listed 16 of its retail locations on the sublease market.
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Rosenthal Wine Merchants will take up 6K SF at the Domino Sugar Refinery in Williamsburg, currently being developed into an office and retail building by Two Trees Management, Commercial Observer reports. The lease term is for seven years and the space is located on the 22nd floor. The building is part of Two Trees’ redevelopment of the Domino Sugar Factory, which will have 200K SF of retail, 600K SF of office space and 2,800 multifamily units when complete, according to Curbed.
TOP FINANCING
Vornado scored $350M in refinancing from Citigroup on its 32-story, 1.3M SF office building at 909 Third Ave., PincusCo. Media reports. Bank of America and BMO Harris Bank co-funded the debt, property records show, and the loan has a 10-year term. WJB Capital, FXall and the New York Community Trust are all tenants in the building, according to Optimal Spaces.
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Bank OZK provided Innovo Property Group and Square Mile Capital a $182M construction loan for their project at 2505 Bruckner Blvd. in the Bronx, PincusCo. Media reports. The development, a 968K SF logistics facility, is set to be completed in 2022. Amid a booming e-commerce market, demand for logistics space in New York City far outpaces supply and rents for these properties have increased over the past year.
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Aron Rosenberg received $50.9M from Ladder Capital Finance on its three Garment District office buildings: 28 West 36th St., 32-34 West 39th St. and 36 West 39th., PincusCo. Media reports. Rosenberg used the proceeds from the loan to pay off debt to another lender, according to PincusCo.
