The Real Deal New York

Charles Blaichman, partners to test market for condos at 591 Third Avenue

Developers file preliminary plan for 74-unit Murray Hill building

May 31, 2016 01:00PM
By Konrad Putzier

591 Third Avenue in Murray Hill (inset: Charles Blaichman)

591 Third Avenue in Murray Hill (inset: Charles Blaichman)

Charles Blaichman’s CB Developers and partners SK Development and Ironstate Development are considering a condominium development at 587-591 Third Avenue in Murray Hill, according to documents filed with the New York state Attorney General’s office Tuesday.

The partners submitted a so-called “test the market” application for 74 residential condos and one commercial unit on the site. If approved, the application would allow the developers to gauge buyer interest for 12 months before submitting an actual offering plan.

The firms jointly acquired three adjacent five-story rental buildings on the site for a combined $25.2 million in March 2015. Plans filed with the Department of Buildings that same month called for a 20-story, 72,000-square-foot building on the site.

The three companies have worked together on projects before. In 2015, they completed a 91-story rental tower at 200 East 39th Street, which is adjacent to 587-591 Third Avenue. They also partnered on 29-story condo building at 301 East 50th Street.

Developers often file test the market applications — officially called CPS-1 applications — to get a sense of demand before committing to an offering plan. In March, for example, Jason Lee’s Six Sigma filed a CPS-1 application for a High Line condo project at 513-527 West 29th Street. Under a recent rule change, the Attorney General’s office now allows developers to file CPS-1 applications for buildings that are occupied by renters.

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