JV buys legacy buildings in Washington Heights
Olshan Properties has partnered with Millhouse Properties to acquire two Washington Heights buildings for $40.1 million.
GFI Realty Services brokered the acquisition of 385 and 395 Fort Washington Avenue, two six-story mixed-use buildings with a total of 115 apartments and four office units, nearly all of which are occupied.
GFI Realty president Michael Weiser led the GFI team — which included Barak Jacobov, Shawn Sadaghati and Yisroel Pershin — in representing both the buyer and seller, Scandinavian Homes.
“The buildings had been in the same family for over 60 years, and when these assets were finally put on the market, there was a great deal of competition among brokers looking to connect the seller with a buyer who recognized the property’s long-term potential,” said Weiser.
The properties, which last traded in the 1950s, are located at the foot of the George Washington Bridge, within a block of the A train.
“With a diverse range of eateries, convenient access to Midtown and proximity to several local parks, Washington Heights has become a very attractive residential neighborhood for both young professionals and families,” added Weiser. “With most units renting well below market rates, this two-building package gives the buyers a lot of room to add value over the long term. ”
Marcus & Millichap
BSP, Cohen partner on latest Bronx buy
Brooklyn Standard Properties (BSP) and Cohen Commercial Properties partnered to buy 10 multi-family Bronx building for $26.5 milllion.
Located at 2460-2468 and 2490 Belmont Avenue, 2463 and 2481 Hughes Avenue, 2454 and 2464 Hoffman Street in the Fordham and Belmont neighborhoods, the proerpties comprise 104 residential units.
The seller was L.A.L Property Management Corporation, a New York development and property management company run by Leslie A. Lerner.
Brooklyn Standard Properties and CCP recently partnered on another deal, acquiring a four-building multi-family portfolio in the Fordham neighborhood.
The two companies are seeking further acquisitions in this area.
Marco Lala at Marcus and Millichap represented L.A.L. Property in the deal.
Rosewood Realty Group
Bronx trio fetches $17M
Rosewood Realty Group announced the sale of a three-building Bronx portfolio in University Heights for $17.5 million.
The five-story walk-up apartment buildings feature 64 apartments and 12 retail stores, including mom and pop stores such as delis, a hair salon and local restaurants.
Together, the 67,770 s/f buildings at 2376 Ryer Avenue, 2463 Valentine Avenue and 2265 Grand Avenue, sold for 11.7 times the current rent roll, and at a cap rate of five percent.
Rosewood’s Aaron Jungreis represented the buyer, Chestnut Holdings, a family-owned real estate investment and management firm ith properties throughout Manhattan, Queens and the Bronx.
Jungreis also repped the seller, Prana Investments, a San Francisco-based investor of underperforming multi-family properties in New York City, Los Angeles and San Francisco.
New Yorker buys Section 8 property
Candlebrook Properties has acquired Berkeley Terrace Apartments, a two story, 152- unit garden style, Section 8 property situated on 5.73 acres in Irvington, NJ.
The $12,250,000 purchase and financing of Berkeley Terrace was made possible using Tax Exempt Bonds and Low-Income Housing Tax Credits, which will permit Candlebrook to renovate the property.
The total cost for the project will be approximately $26 million, which will include interior and exterior renovations to rehabilitate Berkeley Terrace which was in danger of losing its subsidy contract due to a failing Real Estate Assessment Center score.
Financing for the deal was made possible by R4 Capital Funding, which purchased $16,300,000 in Tax Exempt Bonds and $8,058,250 in tax credit equity provided by Alliant Capital through their purchase of the Low-Income Housing Tax Credits and HUD’s provision of a Mark-to-Market Project Based Section 8 Contract
Construction is slated to begin this month with the expected completion date of August 2018.
New York-based Candlebrook has a portfolio of over 15,000 apartment units representing over $2 billion in value.
Soho townhouse with plenty of options
Adelaide Polsinelli, Senior Managing Director and Principal at Eastern Consolidated, has been tapped to sell a four-story, multifamily townhouse at 200 Sixth Avenue in SoHo, which is being offered for sale for the first time in 50 years.
The asking price is $10.5 million.
The 25 ft. wide, 5,863 s/f property between Prince and Spring Streets consists of five apartments, all free market or owner-occupied. The parlor, third, and garden levels feature floor-through apartments, with a 930 s/fprivate, outdoor space included with the garden apartment. There are two, one-bedroom units on the second floor.
“This property presents a unique opportunity because current zoning will allow an investor to continue to use it as a multifamily rental with a possible owner-occupied component, or convert it to a luxury single family townhouse, live/work building, or corporate/institutional use,” Polsinelli said.
Chris Matousek, Director Financial Services, is the analyst for the offering.
Cushman & Wakefield
Sutton Place apartment building sold
Cushman & Wakefield arranged the sale of a seven-story, 25,040 s/f apartment building at 316 East 55th Street.
The final closing price was $16,975,000, which equates to $678 psf and a cap rate below two percent.
Clint Olsen, Alex Woodlief and Will Conrad represented the landlord in the transaction. George Samarjian, of the Lineaire Group, acted as an advisor to the sellers throughout the process.
“The property provides substantial opportunity for revenue growth as in place rents are only 40 percent of market,” said Olsen.
“The buyer plans to implement a significant renovation program, substantially raise revenues and capitalize on the un-tapped potential of the property.”
The elevator-serviced apartment building contains 41 rent regulated units, 40 of which are studio or alcove studios. Three units on the ground floor provide private outdoor spaces. The building’s basement contains a laundry room and 1,000 s/f of free space.
Englishman in New York
A London-based investor has purchased 458 West 51st Street in Midtown West and 283 Devoe Street in East Williamsburg for $11.6 million.
The transaction was a 1031 Exchange, which allowed the buyer to defer capital gains from the sale of 140 West 24th Street, a recent quiet sale that paved the way for Extell Development Company to move ahead with the redevelopment of the FM Ring building they acquired 2013.
458 West 51st Street is 4,120 s/f four-story multi-family building with five two-bedroom market-rate apartments.
283 Devoe Street is comprised of two multi-family houses totaling 5,375- s/f with ten occupied units.
Halstead Property’s Chris Halliburton and Brandon Himmel represented the buyer.
Halloween hot spot sold
Holliday Fenoglio Fowler closed the sale of a 26,401 s/f fully leased, three-level, block-through retail condominium at 808 Broadway and 104-110 4th Avenue in Greenwich Village.
HFF marketed the property on behalf of the seller, 808 Broadway NYC, LLC. 808 Broadway Associates LLC purchased the asset.
The property is a combination of two adjacent buildings, 808 Broadway, which was completed in 1888, and 108-110 4th Avenue, which was completed almost a century later in 1981.
The total square footage of ground-floor retail is 10,779. It is occupied by Masquerade, LLC, dba New York Costumes and Halloween Adventure and is the largest and highest volume costume store in New York City.
The HFF investment sales team was led by senior managing director Andrew Scandalios, managing director Rob Rizzi and director Steven Rutman.
“We received a tremendous amount of interest from both private and institutional investors for this unique asset on a section of Broadway that is currently undergoing an impressive transformation,” Rizzi said.
“New York Costumes is an iconic New York company, and their success is a testament to retailers that are thriving in the ever-changing retail environment.”
CBRE special assignment
CBRE Group, Inc. announced that Jeffrey Dunne and Jeremy Neuer of CBRE Institutional Properties in collaboration with Patrick Arangio and Jack Howard of CBRE National Loan & Portfolio Sale Advisors and Nick Savage of CBRE’s Advisory & Transaction Services represented a special servicer in the sale of 4 Becker Farm Road, Roseland, New Jersey for $16,700,000.
4 Becker Farm Road is a 281,762 s/f office building situated within the 280 Corporate Center Business Park.
Currently 95 percent leased, 4 Becker Farm Road offers a strong credit rent roll with tenants KMPG (91,003 s/f) and CohnReznick (155,993 s/f).
Dunne commented: “With the impending vacancy, 4 Becker is an excellent redevelopment opportunity for new ownership.”
Six-year turnaround pays of for retail investors
The Kalikow Group has sold Rams Plaza Shopping Center, in Chapel Hill, NC, for $21.55 million, after a five-and-a-half year renovation and tenant upgrade campaign on the property.
Kalikow is a member of Rams Plaza Associates, along with Breakers Capital Partners and Argus Development, which purchased the plaza in 2011 for $13.25 million in a joint venture partnership. The buyer is Austin Sumner Properties, located in Athens, GA.
The 113,000 s/f Rams Plaza shopping center is near the University of North Carolina Chapel Hill campus, with its more than 30,000 students, staff and faculty. It is anchored by a Food Lion grocery store and a newly-constructed CVS Pharmacy. Other national chains include Pizza Hut, Mathnasium, ABC Spirits, Brain Balance, Sola Salons and Tire King.
“We’re very happy to have made the significant capital and tenant improvements that helped to drive the value of the property to its final selling price,” said Greg Kalikow, VP for Kalikow Group. “We and our JV partners always saw great potential in the property and feel we’ve executed well on our vision and our plan.”
Olympic Gardens, an 80-unit multi-family complex with an adjacent 14,336 s/f single-story office center along Route 88, has been sold for $10.1 million in a transaction arranged by Gebroe-Hammer Associates.
Joseph Brecher spearheaded the brokerage team, which included Vice President Adam Zweibel, in exclusively representing the seller, Longwood Ave LLC, and securing the buyer, Brick APTS LLC.
Brecher noted the recently upgraded apartment rental units were 100 percent occupied at the time of sale.
Similarly, the well-occupied office complex has a professional tenant roster of physicians, chiropractors and counseling services.