This Week’s NY Deal Sheet
Welcome back from a (hopefully) relaxing Labor Day! Despite the looming holiday weekend, the NYC market did surprisingly well last week, with sales and mortgages making a strong resurgence and leases strangely lagging behind.
TOP LEASES
Gettry Marcus signed a 10-year, 14k SF lease for the top floor of Solil Management and Shorenstein Properties' 40-story 1407 Broadway. The office will serve as the consolidated HQ for the Long Island-based accounting firm, which is currently split between offices at 3 Park Ave and 462 Seventh Ave. Shorenstein—which has spent $30M building up the space with new office spaces, façade, storefronts, lobby and elevator cabs—was repped by CBRE’s Gregg Rothkin and Peter Turchin. Cresa's Vincent Tuminelli and Richard Plehn repped Gettry Marcus.
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Four tenants have signed 41k SF of lease renewals at Rudin Management's 355 Lexington Ave. Investment consulting firm Wealth Advisory Group signed a 10-year, 16k SF renewal for the ninth floor of the 22-story Midtown East tower, and was repped by L&L Holding Co's David Berkey. Accounting firm Rogoff & Co signed an 8k SF, 10-year renewal for part of the sixth floor, and was repped by Savills Studley's Howard Poretsky. Time Square Construction signed a five-year, 8k SF renewal for the entire 17th floor, but was not repped by a broker. Finally, Citymeals-on-Wheels, which provides meals for senior citizens, signed a 10-year, 9k SF renewal, and was repped by CBRE's Jeffrey Frenkel. Rudin VP Robert Steinman repped the landlord in-house for all four deals.
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Zara has signed a 10k SF lease for storage in the basement of 222 Broadway in the Financial District, where it currently owns a three-story store. Now occupying 40k SF of the 1961 office tower, Zara repped itself in the deal. Cushman & Wakefield’s Bradley Mendelson, Alan Schmerzler, Steven Soutendijk and Christopher Schwart repped the landlord, L&L Holding Co, which bought the building in 2012 from Bank of America for $230M.
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Artichoke Basille’s Pizza signed a 2k SF lease at 18 Wyckoff Ave in Bushwick, Brooklyn, where it'll open its eighth NYC location in early October. M Properties Group repped the landlord, Clerestory Properties, which bought the building in an off-market transaction in May for $4.3M. It's not currently known who repped the pizza-maker.
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Peloton Interactive has signed a 12k SF, 10-year lease for the entire eighth floor of the 12-floor 125 West 25th St, adding to the 41k SF stake it recently claimed across the building's ninth, 10th, 11th and 12th floors. Normandy Real Estate Partners bought the building in July 2013 for $54.5M and was repped by JLL’s Mitchell Konsker, Matthew Astrachan and Adam Haber. It's not known who repped Peloton, which offers indoor cycling workouts.
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Global Design Concepts, which makes children's backpacks and ladies' handbags, has renewed its 19k SF lease for its HQ at 10 West 33rd St. The five-year renewal will keep the company on the 454k SF Midtown South tower's 11th floor, which it has leased since 2012. Adams & Co's David Levy repped landlord Ten West Thirty Third Associates, while CBRE's Keith Caggiano repped the tenant.
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Infosys has signed a 14k SF, 11-year lease for the 79th floor of the Durst Organization and Port Authority's One World Trade Center, which is now 70% leased. India's second-largest IT company and sixth-largest publicly traded company will be the tower's latest IT tenant, joining ITI Data, Kensho Technologies and Global Risk Advisors. Durst was repped in-house by 1WTC leasing VP Eric Engelhardt and Karen Kuznick and a Cushman & Wakefield team including Tara Stacom and Justin Royce. Infosys was repped by CBRE's Joseph Mangiacotti and Alex Cantor and Foundation Real Estate Advisors' Jeff Lerch and Andrew Cunningham.
TOP SALES
The MTA sold 501 West 30th St (also known as 15 Hudson Yards, pictured, left) to The Related Cos for $120M. Construction on the 70-story, 391-unit residential tower began on Aug. 31.
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Morgan Properties and Tissa Management sold 85 North 3rd St in Williamsburg to Midwood Management for $42M.
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M. Safra & Co sold 305 East 61st St in Lenox Hill to First New York Realty for $40M.
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TVG Partners sold 315 Seigel St in Williamsburg to Sugar Hill Capital Partners for $40M.
11 E Broadway Realty LLC—run by Kyaw Tun—sold three units in 11 East Broadway in Chinatown (pictured) to Grace Drive Management (owned by Gurpreet Singh) for $28M. Those are the names of a Burmese politician and an Indian soccer player and sports shooter, but it's unknown if these are the actual owners.
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Swift Agency sold 28-90 Review Ave in Sunnyside, Queens, to JBL Asset Management for $25M.
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Manor Properties sold 208 and 210 West 96th St in the Upper West Side to Hubb NYC Properties for $22M.
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Chaim Miller's Reliable Abstract sold 90 Sullivan Place in Crown Heights to E&M Associates for $22M.
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SLJ Property Management sold 45-41 39th Place in Sunnyside, Queens, to RCR Management for $20M.
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The Missionary Sisters of the Immaculate Heart of Mary sold 238 East 15th St in Gramercy Park to Synamon Global LLC for $19M.
Sales data provided courtesy of Reonomy.
TOP FINANCING DEALS
Goldman Sachs closed on a $900M loan to the NYC Industrial Development Agency for 15 Hudson Yards in Manhattan.
MetLife closed on a $185M loan to Lechar Realty Corp (the real estate company of the late Leon Charney) for Lechar's HQ at 1441 Broadway (pictured) in Manhattan.
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Wells Fargo closed on a $145M loan to the Brodsky Organization for a site on West 113 St in Manhattan.
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The Bank of China's NYC branch closed on a $100M loan to United Construction and Development for 44-45 23rd St in Queens.
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United Overseas Bank closed on a $98M loan to the Kaufman Organization for 119 West 24th St in Manhattan.
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Bank of America closed on a $89M loan to Virtu Management for 124 Columbia Heights in Brooklyn.
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Acore Capital Mortgage closed on a $56M loan to Prodigy Network for 17 John St in the Financial District.
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First Republic Bank closed on a $53M loan to Macklowe Properties for a unit in 737 Park Ave in Manhattan.
New York Community Bank closed on a $52M loan to Brookford LLC for 315 Central Park West (pictured) on the Upper West Side.
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Banco Inbursa closed on a $50M loan to HFZ Capital Group for 8 West 30th St in the Flatiron District.
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Newmark Holdings closed on a $30M refinancing with Amalgamated Bank for 5-9 Union Square West, an eight-story, 105k SF mixed-use building that's 93% leased.
Financing data provided courtesy of Reonomy.
