Arbor acquires Rutgers building for $59M
A New York-based investment firm purchased 10 Rutgers Street for $59 million in an off-market transaction.
Arbor Management Acquisition Company, also known as AMAC, bought the eight-story mixed-use building from Hudson Companies.
Built in 1999, the building has a mix of studios as well as one- and two-bedroom apartments and seven ground-floor retail spaces. Across the street from Seward Park, the property lies near the border between the Lower East Side and the Two Bridges neighborhood.
“This transaction presented an attractive opportunity to acquire a corner mixed-use property in a rapidly changing neighborhood with fantastic subway access,” AMAC founding principal Maurice Kaufman said. “Value-add investments in this submarket with this quality and scale are unique.”
AMAC, which was formed in 2012, plans on renovating the apartments, common areas and on-site amenities, which include a doorman, gym, landscaped garden and bike room.
No brokers were involved in the direct deal transaction.
● GFI REALTY
Jeremias Family sells Brooklyn portfolio
GFI Realty Services announced the $46 million sale of a portfolio of three Brooklyn multifamily properties, comprising a total of 145 rent-stabilized units.
Located at 320-328 Ocean Parkway, 420 Avenue F in Kensington and 2302 85th Street in Gravesend, the buildings were owned by Jeremias Family Partnership (JFP) and had been controlled by the Jeremias family for several decades.
The properties were purchased by the Hertz family, who paid $317,000 per unit for the portfolio.
The deal was co-brokered by GFI Realty’s Erik Yankelovich and Aron Taub and Meridian Capital Group’s Lipa Lieberman, Adam Sprung and Mark Steinmetz, with both firms advising the buyer as well as the seller.
According to Yankelovich. “There were several other buyers who came very close to buying the properties, but each of those deals ultimately unraveled.
“We knew that the Hertz family was looking to acquire institutional-quality assets in Brooklyn, and we were able to convince them that this was the right deal for them to expand their portfolio.”
Added Taub: “Arranging the sale of inheritance holdings is often complicated; therefore we had to be of assistance in ensuring all different inheritors were comfortable with the same disposition strategy. Despite the fact that there were several family members with ownership stakes in this portfolio, we were able to get all the stakeholders to agree to this aggressive offer with a sub-four cap rate.”
● ARIEL PROPERTY ADVISORS
Two-building portfolio sells in Prospect Heights
Ariel Property Advisors facilitated the sale of a two-building multifamily portfolio in Prospect Heights.
The 49-unit package, located at 291 Lincoln Place and 292 Lincoln Place, sold for $17.9 million. The sales price represents $436 psf and $365,000 per unit.
The two four-story walk up buildings, which span 41,000 s/f, are situated between Underhill Avenue and Washington Avenue. The unit mix consists of 36 one-bedroom, 11 two-bedroom and two three-bedroom apartments. There are 12,400 s/f of additional air rights.
Jonathan Berman, Michael A. Tortorici, Shimon Shkury, Victor Sozio and Orry Michael represented the owner and secured the buyer.
“Well-maintained multifamily properties of this scale, offering significant upside, rarely come to market in Prospect Heights, so it’s no surprise we received dozens of offers during the marketing campaign,” said Berman.
The buildings recently underwent an extensive capital improvement program. Several apartments were delivered completely renovated.
● AVISON YOUNG
SMA Equities makes Lexington Ave. purchase
The Avison Young New York Capital Markets team arranged the $13 million sale of an 8,500 s/f mixed-use building at 1220-24 Lexington Avenue.
The property consists of four retail spaces, six offices, and eight residential units. The sale also includes 12,000 s/f of air rights to the new owner.
AY’s Charles Kingsley, Principal and Eric Karmitz, Associate, represented the buyer, SMA Equities in the off market transaction.
The seller, the Silber Estate, owned the property since the 1960’s.
“The Upper East Side remains an attractive market for a variety of commercial real estate sectors in Manhattan,” said Karmitz, Avison Young.
SMA Equities already owns several buildings on the Upper East Side.
The 1220-24 Lexington Avenue property was first built in 1880 by Joseph Richardson.
● K PROPERTY GROUP
New Yorkers bring in Boston partners for Soho deal
K Property Group has partnered with Boston-based Intercontinental Real Estate Corporation on the purchase of 30 and 32 Howard Street, two five-story commercial buildings at the corner of Crosby Street in Soho.
The purchase price was $46 million. Cast Iron Real Estate’s David Barreto and Pulse International Realty’s Rena Kliot and Alissa Marlin brokered the transaction.
Plans for the properties include a gut renovation to combine them to create 42,000 s/f of luxury full-floor and smaller pre-built offices on the second, third and fourth floors; and a duplex office penthouse with outdoor terrace on the fifth and sixth floors.
“We are thrilled to break into the Manhattan /New York City real estate market with this acquisition,” said Peter Palandjian, chairman & CEO of Intercontinental.
Rod Kritsberg, founder and managing principal of KPG, added, “Everything we’ve planned for the building is in line with the look and feel of the neighborhood. We have something special planned for the office interiors, which will be transformed into high-end, bespoke pre-built suites that are a cut above even the posh standards of the location.”
Currently the U.S. headquarters of fashion icon Rick Owens at 30 Howard Street, Spector Group will be designing the floor plans.
For the interiors, HBA Architecture & Interior Design will create the workspaces with elements that channel high-end hotels.
The available office spaces will range from 3,800 to 7,200 s/f with the potential to create a building-within-a-building, three-floor penthouse.
There will be 4,500 s/f of fully renovated retail space at 32 Howard Street.
Each of the upper level floors, from second to fifth, have 19 windows and high ceilings. When construction is completed, individual floor plates will contain 7,200 s/f and a 170 feet of wraparound window frontage.
● ROSEWOOD REALTY
Washington Heights walk-ups fetch $13M
Rosewood Realty Group announced the $13.2 million sale of three contiguous mixed-use buildings on Amsterdam Avenue in Washington Heights.
The buildings at 2372, 2374 and 2376 Amsterdam Avenue total 41,353 square feet.
They consist of two, five-story mixed-use walk-up buildings and one six-story mixed-use building with a total of 58 apartments and eight retail stores including a barbershop and a grocery. They were built between 1906 and 1908.
Together they sold for 13.12 times the current annual rent roll and at a four percent cap rate.
Rosewood Realty’s Aaron Jungreis represented both the seller and the buyer, a private investor.
West Coasters make Garden State debut
Holliday Fenoglio Fowler announced the sale of The Highlands at Cherry Hill Apartments, a 170-unit luxury multi-housing property in Cherry Hill, NJ.
The HFF team represented the seller, Equity Residential, and procured the buyer, Friedkin Realty Group.
Completed in 2002, The Highlands at Cherry Hill Apartments comprises 12 two-story residential buildings housing one-, two- and three-bedroom units.
The 97-percent-leased community has a clubhouse, fitness center, business center, swimming pool and parking. It is located in an affluent suburb 15 minutes from Center City Philadelphia.
The HFF team representing the seller included Jose Cruz, Mark Thomson, Kevin O’Hearn, Stephen Simonelli, Carl Fiebig and Fran Coyne.
“We were very encouraged by the activity on this transaction,” added Thomson. “Despite the smaller property size of 170 units, the market showed a strong interest from both institutional and private groups.”
The purchase is the first in the New Jersey market for San Francisco-based Friedkin.