search

The Real Deal Logo

Trending

“Investing before the ‘all clear’ sign”: Jon Gray on Blackstone’s $10B apartment deal“Investing before the ‘all clear’ sign”: Jon Gray on Blackstone’s $10B apartment dealLawmakers reach sweeping housing deal with “good cause eviction,” new 421aLawmakers reach sweeping housing deal with “good cause eviction,” new 421aSL Green, Vornado kick in $100M to extend 280 Park loanSL Green, Vornado kick in $100M to extend 280 Park loanVictor Sigoura picks up site of failed West Chelsea condo for $87MVictor Sigoura picks up site of failed West Chelsea condo for $87M
New York

Shuttered illegal hotel reopens as rentals

The CIM Group-owned building is now leasing

From left: 49 East 34th Street and CIM Group co-founder Richard Ressler
From left: 49 East 34th Street and CIM Group co-founder Richard Ressler

In February, the state’s attorney general’s office closed a 36-story, illegal hotel owned by an affiliate of 432 Park co-developer CIM Group. Now, the former Midtown East condo tower has become legitimate rentals.

Located at 49 East 34th Street between Madison and Park avenues, the 110-unit building, which was supposedly a condo building, was actually functioning as a hotel, where $239 a night got you a studio and $359 a two-bedroom, according to Buzzbuzzhome.

Sign Up for the undefined Newsletter

Meanwhile, CIM Group had collected millions in 421a tax breaks.

But under an agreement with the state attorney general’s office, CIM will pay back the value of the tax breaks — roughly $4.4 million — to a city fund.

The building has now been dubbed Madison Park Tower and one-bedrooms are listed for $3,277 per month. The studio to two-bedroom residences feature oak floors, nine- to 11-foot ceilings and stainless steel appliances. [Buzzbuzzhome] – Christopher Cameron

Tags
CIM GroupHotel Market