This Week's NYC Deal Sheet
Starbucks laid the ground for its first-ever roasting plant outside of Seattle with a 20k SF lease at 61 Ninth Ave, and MHP Real Estate Services picked up the office tower at 850 Third Ave for $463M. Here's a look at the week's top deals in leases, sales and financing.
TOP LEASES
3D printing company MakerBot is shrinking its footprint to 135k SF at Industry City, giving up a total of 90k SF elsewhere in the complex. The move comes as the firm is in the midst of cutting roughly 20% of its staff. Asking rents usually run in the mid-$20/SF range at Industry City.
***
Starbucks is opening a 20k SF roasting plant at 61 Ninth Ave in the Meatpacking District, the coffee giant’s first outside of Seattle. Asking rent was $640/SF for the ground floor and $150/SF on the lower level. Vornado Realty Trust and Aurora Capital are building a 170k SF mixed-use building on the site, slated to open in 2018. Aurora’s Jared Epstein and Vornado’s Edward Hogan repped the landlords, while SCG Retail’s David Firestein repped the tenant.
***
Telsey + Co, the casting agency behind Hamilton and Kinky Boots, has signed a 10-year deal for 12k SF at Paramount Leasehold’s 1501 Broadway, better known as the Paramount Building. Asking rent in the building ranges from about $50/SF to $70/SF. C&W’s Seth Hecht and Cresa New York’s Richard Plehn repped the tenant, while Avison Young’s Arthur Mirante and Michael Gottlieb repped the landlord.
***
North Face has signed a seven-year sublease with Joe Fresh for 20k SF at 510 Fifth Ave. Asking rent was $800/SF. Joe Fresh announced last May it was planning to close two of its NYC stores. C&W’s James Downey repped the tenant, while CBRE’s Richard Hodos, Daniel Alesandro and Joseph Hudson repped Joe Fresh.
***
Silicon Valley-based financial tech firm Addepar has signed a nine-year deal for 25k SF at Milstein Properties’ 335 Madison Ave. Asking rent was $75/SF, and no brokers were involved in the deal.
***
Co-working provider Cowork|rs has signed a 20-year deal for 30k SF at Deergrow Developments’ 839 Broadway Ave in Bushwick. Asking rent was about $30/SF, and Cowork|rs plans to open up the space in 2018 after overhauling it for creative office tenants. It was not immediately clear who the brokers involved with the deal were.
***
Chera Realty Group has signed a 25-year master lease for the 15k SF former Capitol One building at Vision Enterprises’ 1601 Jamaica Ave. The asking rent was not immediately clear. Lee BQLI’s Bradley Diamond and Mandy Cantor repped the tenant and the landlord.
***
Three firms have signed leases totaling 11k SF at The Kaufman Organization’s 450 Seventh Ave. The Juice Shop is taking 1,200 SF, healthcare consulting firm Blue Print Research Group is taking 7,700 SF, and insurance firm KBB Partners is taking 2,100 SF. Asking rents were in the high $50/SF range for each deal.
TOP SALES
MHP Real Estate Services has purchased the 614k SF Midtown East office tower at 850 Third Ave from Shorenstein Properties for $463M. Shorenstein picked up the building in 2008 for $300M.
***
Tribeca Associates has purchased the 47-story office tower at 30 Broad St from a partnership led by Gotham Realty Holdings for $130M.
***
Clarity Parking LLC has purchased the parking lot at 145 West 47th St from Stahl Real Estate Co for $101M. Stahl had owned the lot since 1981.
***
Equity Residential has purchased the 120-unit apartment building at 239 North 9th St, known as Atelier Williamsburg, from Fortis Property Group and Joy Construction Corp for $80M.
***
Yoel Goldman has purchased 28 Stanwix St in Bushwick from Princeton Holdings and Read Property Group for $72M. The purchase is part of Yoel’s ongoing assemblage of property at the former Rheingold Brewery site, where plans are underway for a 10-building development.
***
The World Wide Group has purchased the 124-unit apartment building at 42-15 Crescent St in LIC from Meadow Partners for $70M.
***
The Empire Hotel Group has purchased the 137-key Milburn Hotel at 242 West 76th St from Melvin Newman for $69M. The 15-story hotel was recently converted from apartments.
***
An entity listed as 516 Eighth Avenue Borrower LLC has purchased 270 West 36th St from the Jergil MFG Corp for $25M.
***
Moshe Silber has purchased three multifamily buildings in Washington Heights from an entity listed as 515-517 West 117 St LLC for $20M. The addresses are 507 West 171st St, 515 West 171st St and 111 Audubon Ave, and the buildings have a total of 79 apartments. The previous owner was recently slapped with $17,500 in fines for failing to keep the buildings up to code.
***
Bajraktari Management has purchased the 92-unit rent-regulated apartment building at 3288 Reservoir Oval East in the Bronx from Morina Associates for $19M.
Sales data courtesy of Reonomy.
TOP FINANCING DEALS
The Paramount Group has secured a $1B loan to refinance the 48-story office tower at 1633 Broadway from German bank conglomerate Landesbank Baden-Württemberg.
***
MHP Real Estate Services has secured a $238M loan from Morgan Stanley to finance its purchase of 850 Third Ave, a 21-story office tower.
***
A JV between George Comfort & Sons Inc and Loeb Partners Realty has secured a $150M loan against 200 Madison Ave, a 670k SF office building, from New York Life Insurance.
***
Cornell Tech has secured a $97M loan for the property at 1 Main St from Wells Fargo.
***
Tribeca Associates has secured a $96M loan from M&T Bank to finance its purchase of the 47-story office tower at 30 Broad St.
***
Stonehenge Partners has secured a $77M loan from Signature Bank to finance its purchase of The Bradford, a 15-story apartment building on the UWS.
***
An entity listed as SP 96-97 Street LLC has secured a $55M loan from TD Bank for 135 West 96th St, the site of an apartment building called Stonehenge Village.
***
An entity listed as Chelsea Grand West LLC has secured a $50M loan from US Bank for 160 West 25th St.
***
An entity listed as Grand Residences LLC has secured a $46M loan from Centennial Bank for the property at 310 South 1st St.
Financing data courtesy of Reonomy.
