The Real Deal New York

Phoenix Realty Group, Artimus acquire ground lease on Jamaica factory valued at $34M

The property -- with about 400K buildable sf -- was listed for $24M two years ago

October 06, 2016 05:25PM
By Chava Gourarie

147-07 94th Avenue in Jamaica, Queens

147-07 94th Avenue in Jamaica, Queens

UPDATE, Friday, Oct. 8 at 4:10 p.m.: Phoenix Realty Group and Artimus acquired the ground lease to a 46,000-square-foot factory in Jamaica, Queens that values the property at $34 million, according to documents filed with the city Wednesday.

The partners will take control of the property at 147-07 94th Avenue, which comes with about 400,000 buildable square feet and can be developed for commercial or residential use. The initial lease term runs 52 years, according to the lease memorandum filed with the Department of Finance.

The landlord’s broker, CPEX Real Estate’s Sean Kelly, told the Commercial Observer on Friday that the buyers are paying $4 per buildable square foot on the net present value of initial lease payments, pegged at $34 million. The buyers plan to tear the property down to make way for a mixed-use development. There are also two 24-year lease extension options, he told the CO.

The property was listed for $24 million two years ago by CPEX TRData LogoTINY.

The lot, which is home to a seafood purveyor, sits opposite the Jamaica LIRR hub and the AirTrain station. The owner, Rocco Ron Romeo, bought the property in 1997.

Phoenix owns and develops property nationwide. In New York City, the firm owns a trio of Mitchell Lama buildings in the Bronx, and Fifth on the Park, a condominium at 1485 Fifth Avenue in Harlem.

A spokesperson for Phoenix was not immediately available for comment.

Note: The story was updated to include Artimus’ role and that the lease is valued at $34 million.