David Lichtenstein’s Lightstone Group is planning to build a new, approximately 300-key hotel in the East Village, with Marriott International’s Moxy Hotels serving as the brand, several sources told The Real Deal.
The firm is drafting plans for an 85,000-square-foot building on the site, which extends from 112 to 120 East 11th Street, between Third and Fourth avenues, the sources said.
The project is slated to rise on a site that holds a portion of the six-building multifamily portfolio that Lightstone acquired in April for $127 million from Pan Am Equities. That deal closed with an $85 million acquisition loan from Goldman Sachs.
One of those buildings, 85 East 10th Street — which represented $75.4 million of the total purchase price — is not going to be part of the project. In fact, Lightstone wants to sell it, and hired a team from Meridian Capital Group to bring the 121-unit, 69,100-square-foot rental building to market.
Lightstone is among the city’s most active developers, with projects spread around the city, including Manhattan, Queens and Brooklyn.The firm [TRData] is working closely with Moxy, the new Marriott brand which is targeting millennials with lower prices and a youthful vibe.
In early 2015, the company said it expected to spend $1 billion to develop four Moxy hotels in Manhattan, one in Brooklyn, and one in Los Angeles. Lightstone will spend another $1 billion on other Moxy projects around the country.
Two other Moxy projects in Manhattan are a proposed 36-story, 343-key hotel at 105 West 28th Street in Chelsea, and a 16-story, 618-key hotel at 485 Seventh Avenue, south of Times Square.
Lightstone did not immediately respond to a request for comment.