The Real Deal New York

Extell sells another Ring portfolio building — this one for $40M

Purchaser Metro Loft buying property with plans of converting it to residential

January 28, 2015 11:33AM
By Claire Moses

From left: 331 Park Avenue South and Gary Barnett

From left: 331 Park Avenue South and Gary Barnett (Credit: STUDIO SCRIVO)

Gary Barnett’s Extell Development sold 331 Park Avenue South, one of the buildings the company acquired in 2013 as part of the F.M. Ring portfolio, for $39.5 million to Metro Loft, The Real Deal has learned.

The purchase marks Metro Loft’s second acquisition from the portfolio. In December, the developer bought a 12-story building at 114 East 25th Street for $36.5 million. Extell paid $308 million for a 50 percent stake in the Ring package.

Avison Young’s Neil Helman, Jon Epstein, Vincent Carrega, Charles Kingsley and Jason Meister represented both buyer and seller.

Helman said Metro Loft will likely convert the newly acquired property into a condominium, and that the building lends itself to floor-through apartments. “It’s such a burgeoning neighborhood,” he said about Midtown South, “it’s a highly desirable place to be.”

Metro Loft also has plans to convert the East 25th Street property, one of 14 Midtown South office properties in the Ring portfolio, into a residential development.

The Ring portfolio‘s crown jewel, 212 Fifth Avenue, is also going residential, as previously reported by TRD. Nearby 251 Park Avenue South is in contract to be bought by the Feil Organization. Extell also agreed to sell ground leases for four of the buildings to the Kaufman Organization in March.

  • Harji Singh

    47490 sqft, 3857 per floor.. good for 2 two bedrooms per floor.. hmm a conservertive 15% loss factor per floor, about at about $1800-2000 a foot they’d see about 30% ROI (given cost of construct hard and soft)…Hopefully they dont do super high end condos, the market for that has dwindled down. Metroloft should do 2.5 to 6mm condos, there is a strong market for that price range

MENU