This Week's N.Y. Deal Sheet
This week, a sprawling residential community in Queens traded hands and the buyers of the famed M&M World in Times Square scored financing.
TOP SALES
A&E Real Estate paid $130M for a residential community in Queens, the company announced in a release. Benjamin Cos. sold Cunningham Heights in Queens Village, which has 1,056 units across 22 three-story buildings over four city blocks, to A&E. The property also features 623 parking spots in 25 garages. The deal marks the biggest multifamily deal since the start of the pandemic, per The Real Deal. Jack Bick of Charatan Realty brokered the sale for both sides. The price works out to be $123,106 per unit at a cap rate of 5.6%.
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KABR Group and FCA-Orbita Group are joining together to pay $73.5M for a 3.5-acre industrial site at 184-10 and 184-60 Jamaica Ave., The Real Deal reports. The five- and six-story buildings on the sites are connected and together span 620K SF. Crain's New York Business reports Madison Realty Capital sold the property in a deal brokered by Avison Young's James Nelson and Fritz Richter. MRC and Artemis Real Estate Partners paid $78M for the property in 2017.
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Zeckendorf Development is set to acquire a 61-unit development at 1289 Lexington Ave. known as The Hayworth for roughly $250M. It is currently in the hands of the Children’s Investment Fund, a UK-based lender that took over the building in 2019 when Ceruzzi Properties, which had been looking at a $375M sellout on the project, fell behind on a construction loan.
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Paramdeep Singh, through Premier Hotels LLC, spent $59.5M to acquire The Hotel @ Times Square at 59 West 46th St., PincusCo reports. Apple Core Hotels bought the property, which spans just over 100K SF.
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Eastone Equities sold two mixed-used properties in Flushing, Queens, to Guanghuiny LLC, which is controlled by Xinhua Gan, PincusCo reports. The properties at 142-38 Roosevelt Ave. and 142-26 Roosevelt Ave., which have 13K SF of built space and 27K SF of additional air rights, sold for $23M.
TOP LEASES
Westbrook Partners has signed two new, long-term tenants at its 444 Madison Ave. office tower covering almost 37K SF. Arts nonprofit the Doris Duke Management Foundation will occupy the 20K SF 10th floor, which had an asking rent of $72 per SF. EOS Investors LLC will take the 16K SF 14th floor, where the asking rent was $82 per SF. CBRE’s Paul Amrich, Meghan Allen, James Ackerson and Max Tarter represented Westbrook in both transactions, with Amrich also representing EOS and Cushman & Wakefield’s Jeffrey Lovell representing Doris Duke.
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Media company Morning Brew signed an eight-year lease for the third and fourth floors of the Kaufman Organization's Cluett Building at 22 West 19th St. The company will occupy almost 38K SF at its new Chelsea office. The Kaufman Organization was represented in-house by Sam Stein and Michael Heaner, while Cushman & Wakefield’s Doug Regal and Jamie Katcher represented the tenant.
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Mutual of America Financial Group will lease a 252K SF space to its life insurance subsidiary at 320 Park Ave., which it owns. The asking price was between $95 and $150 per SF, although the final price per square foot was undisclosed. JLL’s Frank Doyle and David Kleiner brokered the transaction, The Real Deal reports.
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1633 Broadway has a new tenant in the form of Taiwanese Michelin-starred restaurant Din Tai Fung, which will lease the 26K SF space from owner The Paramount Group for 15 years, The Real Deal reports. The restaurant is expected to open in 2023 at the base of the 48-story, 2.5M SF Midtown skyscraper.
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Singer and entrepreneur Rihanna will lease a 6K SF Park Slope space from Hidrock Properties for her lingerie brand Savage x Fenty. The Brooklyn store will be the brand’s first in the city, occupying three floors at 182 Flatbush Ave. The asking price was $650K per year, according to The Real Deal. Lantern Real Estate’s Matthew Seigel represented Savage x Fenty and Compass’ Ralph Hanan and Brett Weinblatt represented Hidrock.
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Amazon has signed a 10-year warehouse lease in Long Island with landlord Hartz Mountain Industries, The Real Deal reports. Frank Frizalone of Cushman & Wakefield represented Amazon in the 246K SF deal, and CBRE’s Phil Heilpern and Paul Leone represented the landlord.
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Restaurateur Noel Tynan has a new tenant for his six-story townhouse in Midtown, Commercial Observer reports. Steakhouse Hunt & Fish Club signed a lease for the 8K SF space on East 54th Street, which had an asking price of $40K per month. Meridian Retail’s James Famularo represented both the landlord and the tenant.
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Industry City has a new tenant: the Marcy Lab, a higher education alternative offering tuition-free technology fellowships, will occupy a 16,500 SF space at the Sunset Park campus in Brooklyn.
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French design house Hermès is moving its headquarters to Olayan Group-owned 550 Madison Ave. Hermès will lease almost 72K SF across the 23rd, 24th and 25th floors of the office tower.
TOP LOANS
Paramount Group scored $98M from Bank of America to fund an acquisition loan for the retail condominium at 1600 Broadway, home to M&M World, according to Cushman & Wakefield. Gideon Gil, Lauren Kaufman and Zachary Kraft of C&W’s equity, debt & structured finance team represented the borrower in the transaction.
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MMR Development, run by Rotem Rosen, locked down $113M through the Israeli bond market, The Real Deal reports, to refinance Hotel Indigo at 171 Ludlow St. on the Lower East Side and for the acquisition of a site in Miami. The deal, which also went to a property in Florida, marks the largest Israeli bond raise for a U.S. real estate company since the start of the pandemic.
