The Real Deal New York

Sugar Hill looking to flip Williamsburg rental

Investment firm is asking $53M for building it bought for $37M in June

March 02, 2016 05:50PM
By Konrad Putzier

From Left: Sugar Hill's David Schwartz, 385 Union Avenue and Robert Shapiro

From left: Sugar Hill’s David Schwartz, 385 Union Avenue in Williamsburg and Robert Shapiro

UPDATED, 9:53 a.m., March 3: Just eight months after buying a 47-unit Williamsburg rental building for $37 million, Sugar Hill Capital Partners is looking to flip it for a hefty profit.

The 53,000-square-foot apartment building at 385-401 Union Avenue hit the market with an asking price of $53 million, according to sources. Achieving that price would send a signal that the Williamsburg market can shrug off worries over a looming L-Train shutdown and broader weakness in U.S. commercial real estate.

Cushman & Wakefield’s Robert Shapiro is marketing the property.

The building was vacant when Sugar Hill bought it from Madison Realty Capital in June, according to a source. The source added that the building is now fully leased, and Sugar Hill is evidently banking this will make it more attractive to potential buyers.

The property at 385-401 Union Avenue was originally developed by Anshel Friedman and Pincus Freund. City National Bank took over the building through foreclosure and sold it to Madison Realty in 2012 for $21.5 million.

Last month, Sugar Hill bought four rental buildings on the Upper West Side for $65 million from Benjamin Hadar and Leonard Solomon.