Carlton Chairman, Howard L. Michaels, announced the representation of Real Estate Equities in their off market acquisition of 375 West Broadway. The sale price was $81 million.
The transaction was led by Carlton representative Steve Fenster who organized a commercial bank financing along with one of Carlton’s overseas equity relationships to facilitate the 5-story office and retail acquisition which is home to trendy retailer Anthropologie.
Real Estate Equities, headed by father and son Michael and Brandon Miller and Mark Siegel, in partnership with the overseas investor accessed by Carlton, closed yesterday (Tuesday) on the acquisition of the 55,700 s/f property between Broome and Spring Streets, from a family that purchased the building decades ago.
Aside from the overseas equity investor, Carlton arranged first mortgage financing from a large international commercial bank which provided senior financing.
The transaction stands to benefit from the huge increase of retail rents in Manhattan and SoHo in particular, according to Carlton.
Laurence Ross, managing principal of Highcap Group, represented the buyer of the 5 story, 55,000 s/f commercial loft building with over 11,000 s/f of retail space.
The selling entity, Ellwell Associates LLC, was represented by Lee Spiegelman, founder and managing principal of SplitRock Group.
According to Ross, “This was an off- market opportunity which presented many hurdles including months of intense negotiations between buyer and seller, and challenges with the fallout from storm Sandy.
“The property has considerable upside with below market office rents, as well as an undervalued ground floor retail lease. The lack of product and strong demand for well positioned, quality assets has helped fuel the prices throughout Manhattan, especially in Soho”.