Rich pickings in Hellʼs Kitchen
Local private investor Rich International has closed on its $47.5 million purchase of 885 10th Avenue.
The 1945 mixed-use, six-story corner elevator apartment building was sold by Benchmark Real Estate Group.
Benchmark paid $32.3 million for the 37,000 s/f Hell’s Kitchen property back in the fall of 2014. It has 37 apartments — 29 rented at market rates and eight that are rent-stabilized — with rents averaging $3,300. The Greek Kitchen and Boston Market occupy the retail spaces.
Benchmark fully renovated the building, which offers a cap rate of 3.85 percent, as well as 20,000 s/f in air rights, according to Glenn Raff of Alpha Realty, who represented Rich International. HFF’s Eric Anton repped Benchmark.
“The building has been beautifully re-done from top to bottom and, with uncertainly in rent stabilization laws, this was a great buy because it’s almost all decontrolled and has its air rights intact for future development,ˮ said Graff, noting that the new owners plan a long-term hold of the property maintained as a rental.
CT complex fetches $87M
Highgrove, a 93-unit Robert A.M. Stern designed luxury apartment community in Stamford, CT, has been sold to a private investment group for $87.5 million, or $940,860 per unit.
CBRE Group, Inc. announced that Jeffrey Dunne, Gene Pride and Travis Langer of CBRE’s Institutional Properties, represented Winthrop Realty Trust in the sale.
The new owners intend to continue operating Highgrove — originally designed as a condo — as a luxury rental community.
Dunne commented: “The sale of Highgrove reflects the ongoing demand for high quality assets in Stamford and Fairfield County. The property is spectacular, with finishes that are unmatched in the suburbs and will be difficult to ever duplicate. The buyer acquired a great asset in Highgrove, beating out many other qualified buyers.ˮ
According to Dunne, the Highgrove sale validates the strong investor demand for urban nodes in the greater New York suburban region.
“From northern New Jersey, to Long Island, Westchester County and Stamford in particular, similar themes are being played out with renters and ultimately investors gravitating to communities embracing the modern lifestyle that focuses on walkable communities with access to transit, recreation and employment,ˮ said the investment sales powerhouse.
Buyer zones in on industrial asset
Holliday Fenoglio Fowler closed the $27.125 million sale of 350 Clark Drive, a 446,076 s/f industrial and office building in the Morris County community of Mount Olive, New Jersey.
HFF marketed the site on behalf of the seller, North Jersey Development Group. Commercial Realty Group purchased the asset.
Situated on 40.5 acres, 350 Clark Drive is within the International Trade Center, a 684-acrecommerce center originally developed by The Rockefeller Group and located within a designated Foreign Trade Zone that offers companies tax incentives on merchandise imported for manufacturing or assembling when the final product is exported outside of the U.S.
Completed in 1990, 350 Clark Drive consists of a 335,122 s/f industrial building with 29,340 s/fof mezzanine space and a three-story, Class A office building that was added in 1995 and totals 75,000 s/f.
The industrial portion is 100 percent leased to two tenants, Performance Food Group and 350 Logistics, while the office portion is home to eight tenants, including Mars Incorporated, Lion Ribbon Company, Hundley Burns and FC Architects.
The HFF investment sales team representing the seller was led by Michael Nachamkin along with Jose Cruz and Robert Borny.
●Cushman & wakefield
Third time’s a charm
Two Raritan Center industrial buildings have traded in a $25 million sale orchestrated by Cushman & Wakefield’s Metropolitan Area Capital Markets Group.
Federal Business Centers purchased the assets at 300 Columbus Circle and 400 Raritan Center Parkway from High Street Realty.
The adjacent, multi-tenanted properties total 204,440 s/f and are 90 percent occupied.
It’s the third time the Cushman team has sold the properties. “Each time, these assets have come to market with high occupancy and quality tenants,” noted Cushman & Wakefield’s Gary Gabriel, who headed the sale with team members Andrew Merin, David Bernhaut, Brian Whitmer, Kyle Schmidt and Andrew Siemsen.
“Accordingly, each offering has drawn significant, competitive interest from the investment community.”
●HORNIG CAPITAL PARTNERS
Big plan for Bushwick buy
Hornig Capital Partners, along with real estate private equity firm Brickman, has acquired The Box Factory at 1519 Decatur Street for $10 million.
Brickman will invest on behalf of Brickman Fund VI, L.P..
The fee simple purchase of the 67,000 s/f building, which spans two-and-a-half floors, signifies the start of a conversion that will turn the building into a modern commercial property.
Financing was secured through Mission Capital Advisors with Metropolitan Bank.
HCP and Brickman will invest an additional $6 million in a gut renovation to create flexible divisions for tenants.
Pinnacle Realty of NY, with a team led by brokers David Junik and Abe Lowy, represented both parties in the transaction.