By Roland Li
A mixed-use building at 1032-1034 Lexington Avenue has sold for $10.1 million, according to city records.
The three-story building is roughly 12,000 s/f, including a 3,373 s/f basement. The ground floor commercial space and kitchen of the property is currently vacant. It was previously occupied by Payard Patisserie & Bistro, which closed in July 2009 after 12 years in the location.
Owner François Payard told Crain’s at the time that an impending rent increase of around 60% prompted the closure, which displaced 74 employees. A spokeswoman for Payard confirmed that the closure was due to rent issues.
Payard would later file for Chapter 7 bankruptcy protection, but last year opened a new restaurant at 116 West Houston Street.
The second floor is occupied by apparel retailer Jackie Rogers, and the third floor is a rent-controlled residential apartment. Crain’s reported that the tenant, prince Ertugrul Osman of Turkey, had been in a rent dispute with landlord Stephen Kirschenbaum of Sante Fe, N.M, the former owner. However, Osman passed away in the fall of 2009 at the age of 97.
Kirschenbaum wasn’t available for comment.
Manhattan-based ADB Management LLC, a subsidiary of Elysee Investment Co., was the buyer. A spokeswoman for Elysee confirmed the sale, but officials at the company weren’t available to comment further.
Guthrie Garvin, first vice president of sales at Massey Knakal, represented the seller. A broker from Besen Associates represented the buyer.
Garvin said the property’s location, between East 74th Street and East 73rd Street, and its wide street frontage led to many offers.
“The location is unbelievable,” he said. “It’s very rare that you get 34 feet on Lex.”
The building had been previously been marketed in 2009 by Eastern Consolidated, which noted that Payard’s former space, designed by interior designers and architects the Rockwell Group, remained intact.
