This Week's N.Y. Deal Sheet
New York City’s real estate market largely stayed slow and small this week, with no leases larger than 40K SF signed and sales and financing activity at tepid levels.
TOP LEASES
Energy drink company Red Bull has a new headquarters in the Meatpacking District. The drinks brand signed a 17,500 SF lease, taking the entire third floor at 15 Little West 12th St. David Mainthow of Cushman & Wakefield represented Red Bull, which will occupy the premises in Q3 2022. Jason Greenstein, Daniel Levine and David Falk of Newmark represented the landlord, UK investment firm Epic.
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Automatic Data Processing has agreed to a 19K SF lease at 530 Seventh Ave. with landlord Savitt Partners, according to a release. Asking rents for the space were $59 per SF, negotiated by Al Golod, Max Tarter, Neil King and Paul Amric of CBRE with Savitt's in-house team of Nicole Goetz and Brian Neugeboren. CBRE’s Patrick Moroney and James Ackerson represented ADP in the transaction.
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Women’s clothing brand LoveShackFancy has leased 20K SF at 111 Fifth Ave., according to a release. The deal for the 128-year-old, 13-story building gives LoveShackFancy a Fifth Avenue address over a 10-year lease. Current Real Estate Advisors’ Brandon Charnas represented the tenant along with Rob Kluge, and told Commercial Observer that asking rents were $79 per SF. Landlord The Winter Organization was represented by David Falk, Daniel Levine, Rob Silver and Anthony Sciacca of Newmark.
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One World Trade Center is now 95% leased after its latest deals. Business optimization services firm Celonis expanded its space by 40K SF last month, with representation from Savills' Kirill Azovtsev and Michael Mathias. The Durst Organization, which operates the building and owns a minority stake, was represented in-house by Karen Rose and Eric Engelhardt, with additional help from Newmark's David Falk, Jason Greenstein, Peter Shimkin, Hal Stein and Andrew Duffy. The Port Authority of New York and New Jersey is the majority owner of One World Trade, the Western Hemisphere's tallest building.
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Berkshire Hathaway HomeServices New York Properties added a new, 8K SF office at 590 Madison Ave., owned by the Board of the State Teachers Retirement System of Ohio. BHHSNYP was represented in-house by Jeff Berman and plans to move into the space, previously occupied by Bonhams New York, in the fall. Edward J. Minskoff Equities’ Jeffrey Sussman represented the landlord, according to a release.
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The New York City School Construction Authority signed a lease for a 19K SF building at 41-61 Kissena Blvd. in Queens with Muss Development, according to a release. The Flushing commercial building is partially occupied by medical tenants.
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GFP Real Estate has signed two new tenants at its 740 Broadway building, Commercial Observer reports. Sustainable business expertise group Business for Social Responsibility will take 8K SF for seven years, while the Hetrick-Martin Institute renewed its 9K SF lease for 15 years. GFP’s Donna Vogel represented the landlord in-house in both deals, with assistance from Newmark’s Brittany Silver and Jamie Jacobs for the deal involving Business for Social Responsibility, which was represented by GFP’s Allen Gurevich. Hetrick-Martin had representation from Cushman & Wakefield’s Carri Lyon and Joseph Harkins.
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110 West 40th St. has four new tenants taking up 7K SF total. Adams & Co.’s David Levy and Brett Maslin represented the landlord, One Ten West Fortieth Associates, in each of the deals, which had asking rents between $68 and $75 per SF. The new tenants: The New York Youth Symphony, Luxury Asset Capital, Pereg Ventures Fund and Up Digital Art Studio.
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FiDi’s 20 Vesey St. has a new celebrity tenant: trainer and entertainer Martin Snow, who signed a 4,500 SF lease, according to Commercial Observer. Asking rents were reportedly $150 per SF for the space, which Snow will use to house his gym, Trinity Boxing Club. Brandon Singer, Michael Cody and Kim Levandovsky represented the owner, Castega Realty Associates, while Norman Bobrow & Co.’s Josh Berger represented Trinity in the deal.
TOP SALES
Stawski Partners has sold a two-parcel development site, Crain’s New York Business reports. The property management company sold 23-15 44th Road and 43-16 24th St., both in Long Island City, to Carmel Partners for $176M. The parcels, also known as 43-30 24th St., according to property records, are approved for a residential tower reaching almost 900 units, The Real Deal reports.
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Epic has handed 221 West 41st St. over to Yellowstone Real Estate Investments as part of a deed-in-lieu of foreclosure action, PincusCo and The Real Deal report. Yellowstone had acquired the mortgage note on the property from M&T Bank last year and took it over at a value of $161M; it is assessed at $196.7M. The building was constructed in the early 20th century by Coca-Cola founder Asa Candler and was once Midtown’s tallest tower.
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The Center for Constitutional Rights has bought a ninth-floor condo at 666 Broadway for $5.75M from the owner of the Trust for Public Land, according to a release. CCR has been in the building since the late 1960s, operating out of the sixth and seventh floors. This purchase takes its footprint in the building up almost 9K SF to 27K SF total. Denham Wolf Real Estate Service brokered the deal.
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The Harkham family has bought the 15,500 SF 206 Spring St. building for $10.5M, Crain’s New York Business reports. The space is composed of two floors of retail and three floors of office. The seller, Corogin, was represented by James Nelson, Brandon Polakoff, Eric Karmitz and Bradley Rothschild of Avison Young, while the Harkham family's representation wasn't disclosed.
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Good Day Apartments sold 2200 Powell Ave., The Bronx, for $20M, Crain’s New York Business reports. The buyer, Gabriel Prime Realty, is a business founded less than a year ago, according to public records.
TOP FINANCING DEALS
HUBB NYC scored a 10-year, $99.9M loan from JPMorgan Chase to refinance a 209K SF Upper West Side portfolio, Commercial Observer reports. Gideon Gil, Lauren Kaufman, Zachary Kraft and Sebastian Sanchez of Cushman & Wakefield represented HUBB NYC in the transaction.
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ZG Capital Partners secured a $71M CMBS loan for the Bruckner Building in the Bronx at 2417 Third Ave., Commercial Observer reports. ZG bought the building after Savanna and Hornig Capital Partners put the eight-story, 185K SF building through a major revitalization program. The 10-year loan was securitized by Goldman Sachs and was put together by Daniel Fromm, Dustin Stolly and Jordan Roeschlaub of Newmark.
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BridgeCity Capital has agreed to lend ZD Jasper Realty $35M to acquire a three-parcel site on the West Side of Manhattan from Extell Development, The Real Deal reports. ZD Jasper paid $52M for the development sites, which are occupied by industrial buildings and had been owned by Gary Barnett's firm for eight years.
CORRECTION, MARCH 30, 10:30 A.M. ET: A previous version of this article misstated the brokers representing the tenant and landlord in the LoveShackFancy lease. This article has been updated.
