This Week's N.Y. Deal Sheet
It was a relatively quiet week for closed sales in New York City, despite the rash of big contracts being signed, but debt and leasing brokers earned their commissions this week with a number of sizable deals crossing the finish line.
TOP LEASES
Jet.com, an e-commerce firm owned by Walmart, is leasing Prologis’ 200K SF warehouse in the Bronx, Crain's New York Business reports. The asking rent for the building at 1055 Bronx River Ave. was $22 per SF. The property is Prologis’ first multistory warehouse on the East Coast, and the company renovated it to feature 10 loading docks that can accommodate 53-foot trailers. The company paid $30M for the building, previously leased by ABC Carpet & Home in 2016.
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Investment firm Investcorp renewed its lease for 75K SF at Vornado and SL Green’s 280 Park Ave., Crain’s New York Business reports. The company occupies floors 35 through 39 in 280 Park's west tower, according to the publication. The asking rents in the deal were $105 per SF.
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Adjmi Apparel Group expanded its lease at Adams & Co.’s 463 Seventh Ave. to 48K SF, Commercial Observer reports. In one transaction, it renewed for the almost 24K SF that it already has in the building for its Consolidated Children’s Apparel division. That lease was for 10 years. In a separate deal, a subsidiary of the company IFG Corp. leased nearly 24K SF on the fifth floor of the building for 10.5 years. Asking rents in both the deals were $52 per SF.
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Law firm Fenwick & West signed a lease for 36K SF at 902 Broadway, Commercial Observer reports. The 10-year lease is for the entire 14th and 15th floors, and the asking rent was $69 per SF. The Silicon Valley-based firm currently leases nearly 16K SF at 1211 Sixth Ave.
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EY is taking 27K SF at 218 West 18th St., which is owned by Columbia Property Trust. The accounting firm will take space across the ninth and 10th floors, The Real Deal reports. The lease is for more than five years. EY announced last year it would move its American headquarters to Brookfield Property Partners’ One Manhattan West office tower.
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Swingers: The Crazy Golf Club, a London-based indoor golfing company, is leasing 22K SF in the Virgin Hotel, Commercial Observer reports. It is the club’s first location in the United States. The 39-story hotel at 1227 Broadway is under construction and due to be finished next year. The asking rent was $110 per SF.
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Convene, an event and meeting space provider, is leasing 29K SF on the seventh floor of Fisher Brothers’ 605 Third Ave. The space is for an amenity center that will feature a café and a terrace. The rents in the deal were not made public.
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Analytics and technology company Media iQ Digital is leasing 23K SF at the Feil Organization’s 261 Fifth Ave. The asking price for the 10-year lease was $85 per square foot. Media iQ is moving from 853 Broadway, also owned by Feil, where it has 8K SF.
TOP SALES
Zara Realty paid $56.5M to buy an Elmhurst apartment complex from Treetop Development, The Real Deal reports. Most of the units in the 164-unit building at 94-26 56th Ave. are rent stabilized, according to the publication. Treetop paid $40.7M for the building in 2016.
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Golden Lioness Corp. bought a six-story, elevator mixed-use building at 347 Berry St. in Williamsburg for $17.5M. The 22K SF building, known as the Ice Cream Factory, has 23 units, a retail store and a nine-car parking lot. Horrigan Development was the seller.
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Extell Development is paying $16M to the Hakim Organization for a building at 1637 First Ave. in Yorkville, The Real Deal reports. The property is one of five buildings on 86th Street that Extell has recently acquired. The developer’s plan is to transfer the air rights from those buildings to its project at 350 East 86th St., according to TRD.
TOP FINANCING DEALS
Brookfield Property Partners scored a $1.15B loan from Landesbank Baden-Wurttemberg for its repositioned office building at 5 Manhattan West, Commercial Observer reports. The loan provides $580M in new financing and consolidates a $570M loan issued by Wells Fargo, according to the publication.
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MetLife Investment Management provided a $205M loan to Jack Resnick & Sons and the Ruben Cos. for 110 East 59th St., Commercial Observer reports. The building is currently undergoing a $25M renovation.
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RFR Realty locked down $140M in financing for its Paramount Hotel in Times Square from Aareal Capital Corp., The Real Deal reports. The bank, which is an arm of Germany’s Aareal Bank AG, assumed a $100M loan from Citibank and provided a $40M gap mortgage, according to the publication.
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Square Mile Capital Management provided a $260M loan for Essex Crossing, the New York Post reports. The financing will get construction underway at 202 Broome St. The building, which is developed by a joint venture that included Taconic Investment Partners, is slated to have 83 condominiums and would reach 14 stories, according to the Post.
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Capital One provided a $175M loan to BlackRock Real Assets and L&L Holding Co. for 600 Third Ave. The office building spans 575K SF and reaches 42 stories. BlackRock formed a joint venture with L&L in 2006. Last year it was reportedly looking to sell its ownership stake in the building.
CORRECTION, APRIL 17, 4:45 P.M. ET: Jet.com is owned by Walmart. An earlier version of this story incorrectly identified its parent company. This story has been updated.
