This Week's NY Deal Sheet
Sales remain low as usual, but leasing's firing on all cylinders as more of Hudson Yards and the World Trade Center comes online.
TOP LEASES
Just announced this morning, MarketAxess has signed an 83k SF lease across three floors at 55 Hudson Yards, relocating its HQ when the building's completed in 2018. CBRE's Brad Gerla repped the tenant, while CBRE's Robert Alexander and Howard Fiddle and Related's Stephen Winter repped the landlord in-house. The company is the fourth office tenant at The Related Cos, Mitsui Fudosan America and Oxford Properties Group's towers.
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Two insurance companies signed two leases totaling 69k for Silverstein Properties’ 4 World Trade Center. Global Atlantic Financial Group signed a 44k SF, 15-year lease for the 72-story tower’s 51st floor. Silverstein World Trade Center leasing director Jeremy Moss repped the landlord in-house with CBRE’s Mary Ann Tighe, Steven Siegel, David Caperna and Steve Eynon. Savills Studley’s Erik Schmall and Michael Mathias repped Global Atlantic. Validus signed a 16-year, 25k SF lease for half of 4 WTC’s 47th floor. The CBRE team worked with Silverstein’s Camille McGratty to rep the landlord in-house, while Validus was repped by CBRE’s Eric Deutsch and Jonathan Cope. Now 80% leased, the tower has scored more than 200k SF of new deals over the last few weeks.
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The Icahn School of Medicine at Mount Sinai signed a 19k SF long-term lease for two floors of the Ansonia (2109 Broadway) on the Upper West Side. Lee & Associates' Leonard Zimmerman, Richard Rosenthal, Howard Rosen and John Cannon repped Mount Sinai, while Newmark Grubb Knight Frank's Jeffrey Roseman and Drew Weiss repped Ansonia Realty.
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The Actor's Fund of America has expanded its office space at 729 Seventh Ave by 50%, now occupying 34k SF. The fund, which will remain at the building until 2030, was repped by Cushman & Wakefield's David Lebenstein, while landlord Himmel + Meringoff Properties was repped in house by Jason Vacker and David Cohen. Other tenants in the tower include Playbill Inc, which recently inked a 10-year full-floor lease, Key Brand Entertainment and the Broadway League.
The Legal Aid Society has signed a 22k SF, 15-year lease in the Melrose Building (pictured) at 260 East 161st St. The organization already occupies 56k SF on the building's eighth, ninth and 10th floors, but is expanding its presence to encompass the full seventh floor as well. The owner, Acadia Realty Trust, was repped by JRT Realty's Ellen Israel and Greg Smith, while CBRE's Craig Reicher, Chris Mansfield and Greg Maurer-Hollaender repped Legal Aid. Near Yankee Stadium and across the street from the Bronx County Court, the building also houses Starbucks, Walgreens, Checkers, Dunkin’ Donuts and T-Mobile.
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The Wine Cellarage has renewed its 22k SF lease at the Bronx's BankNote Building (890 Garrison Ave). While the tenant didn't have a broker, owner Madison Marquette was repped by NGKF's Hunter Berman, Arthur Draznin and Noel Flagg.
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Indian business technology firm Infosys Technologies has signed a 13k SF, 11-year lease for the 74th floor of 1 World Trade Center. Currently based at 45 Rockefeller Plaza, Infosys was repped by CBRE's Alex Kantor and Joseph Mangiacotti, while Cushman & Wakefield's Connor Daugstrup, Justin Royce, Tara Stacom, Peter Trivelas and Barry Zeller repped landlord Durst Organization, which co-owns the building with the Port Authority.
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EverGreene Architectural Arts has signed a 19k SF, 10-year lease for Industry City's Building 3 at 253 36th St in Sunset Park. IC’s Kathe Chase, Jeff Fein and Brett Harvey brokered the deal directly with the tenant.
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Real estate investment firm HUBB NYC Properties signed a 10-year, 12k SF lease for the entire fourth floor at Stawski Partners’ 15k SF, 17-story 579 Fifth Ave. JLL’s Paul Glickman, Diana Biasotti, Benjamin Bass and Walter Rooney repped Stawski, while CBRE’s Joseph Fabrizi and Michael Affronti repped HUBB NYC, which is relocating its HQ from 130 East 59th St.
Outstanding Hospitality Management Group signed a 12k SF, 15-year lease at the Kushner Cos' 229 West 43rd St, also known as the old New York Times Building. The site will be the location of American Market, a food hall led by celebrity chef Todd English. JRT Realty Group’s Greg Smith and Kelly Simek repped the tenant, while Kushner was repped by SCG Retail’s Chase Welles and Alexandra Escobar. With this lease, Kushner has fully leased the 250k SF retail space, which it purchased in October 2015 for $295M. Other tenants include the 49k SF Gulliver's Gate, the 60k SF National Geographic exhibit and the first brick-and-mortar location for Los Tacos No. 1.
TOP SALES
LaGree Baptist Church sold 362 West 125th St in Manhattan to Brooklyn landlord Haim Nortman for $28.5M. The 12k SF, four-story church has 75k SF of buildable space. BSD Realty Worldwide brokered the sale. LaGree has owned the property—once a movie theater—since 1975.
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Prudential Real Estate Investors sold 123 East 86th St in Carnegie Hill to an entity known as NJNAM Asset Co LLC for $24.5M.
A British Virgin Islands corporation known as Jetconfitrade—which, according to the Panama Papers, belongs to a Russian named Boris Lantsman—sold unit 1401 in 768 Fifth Ave (otherwise known as the Plaza Hotel) to an entity known as Baikunth LLC for $17.5M.
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Perry Finkleman’s American Development Group sold three Brooklyn affordable rental properties—2810 Foster Ave, 4202 Church Ave and 175 Lott St—to Mindy Weinberger for $12.5M. Working with HK Organization’s Harry Kotowitz, American bought the properties—totaling 67 units and five retail spaces across 55k SF—in 2003 for $134k.
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Hotel owner Jay Wartski sold a 12-unit, seven-story, 8,525 SF elevator multifamily building at 209 West 20th St in Chelsea to East Rockaway-based landlord Jill Drachman for $11.6M. Jay bought the property in 2002, and has been accused of evicting tenants to create an illegal hotel.
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ELH Management sold 101 West 106th St in Manhattan to the Orbach Group for $8.8M.
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An entity known as 2715 Webb LLC sold 2715 Webb Ave in the Bronx to Tax Opportunities America for $8.6M.
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An entity known as 341 E. 65TH St LLC sold 341 East 65th St to NSD Realty for $8.25M.
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Canarsie Associates sold 703 and 730 East 103rd St in Brooklyn to ELH Management for $8.15M.
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Scent-sation's realty arm sold 55-01 37th Ave in Queens to an entity known as Ziwu Holdings for $7.7M.
Sales data provided courtesy of Reonomy.
TOP FINANCING DEALS
The Canadian Imperial Bank of Commerce closed on a $400M loan to Lord & Taylor for 436 Fifth Ave (pictured) in Manhattan.
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Deutsche Bank has closed on a $215M loan to Sam Chang's McSam Hotel Group for 346 West 40th St in Manhattan.
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Landesbank Baden-Württemberg's NYC branch closed on a $185M loan to Murray Hill Properties for 1250 Broadway in Manhattan. In June, the 39-story office building was under contract for $565M contract to Global Holdings' Eyal Ofer, a major investor with the Zeckendorfs.
AXA Equitable Life Insurance Co closed on a $72M loan to Rockrose Development for 300 Park Ave South in Manhattan. Known as the Creative Arts Center, the 16-story Beaux-Arts-style building is occupied by the Smithsonian Institution's New York Research Center, the New York State Council on the Arts, Wilhelmina Models, FanDuel and the Whitney Museum of American Art.
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Garden Commercial Properties closed on a $38M refinancing to JPMorgan Chase for 20 West 55th St in Manhattan.
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Sterling National Bank closed on a $36M loan to an entity known as W&K PHASE 2 LLC for 33 South 10th St in Brooklyn.
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The Downtown Investment Authority closed on a $32M loan to All Year Management for 1036 Dean St in Crown Heights. The eight-story, 106-unit, 125k SF residential property boasts a 56-car parking garage, a 63-bike storage space, a lounge, a fitness center, a common outdoor area on the second floor, and a rooftop terrace.
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Berkadia Commercial Mortgage closed on a $26M loan to Paulding Avenue Realty for 3677 White Plains Road in the Bronx, which will be the site of a new 24-unit affordable housing property.
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Mercedes Benz Financial Services closed on a $25M loan to car dealer Manuel Kadre for 30-35 College Point Blvd in Queens. Late last year, Nassau County-based Feinstein CP Realty filed applications for a four-story, 82k SF automotive commercial building at the 120k SF lot.
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JPMorgan Chase closed on a $23M loan to Edel Family Management for 162 West 54th St in Manhattan.
Financing data provided courtesy of Reonomy.
