Avalon hotel (credit: PropertyShark)
Another hotel deal has been inked in the Herald Square area. According to records filed with the city today, the 100-room Avalon hotel near Herald Square has sold for $48.3 million. The price for the 12-story, 71,250-square-foot building, at 16 East 32nd Street, comes out to about $483,000 per key, or $678 per square foot.
The buyer is a corporation called 16 East 32 that shares an address with Armani Exchange’s U.S. headquarters. The company’s press department did not immediately respond to a request for comment.
The seller is Newport Beach, Calif.-based Ferrado US LLC, which New York Department of State records show is headed by Jose Tena. Ferrado affiliates have purchased several other U.S. hotels, including the Standard hotel in Miami, according to published reports. It acquired the Avalon hotel in 2005 for $33.5 million.
The Herald Square area has seen a flurry of hotel deals lately. Three hotels are in development along West 36th Street near Sixth Avenue, including one that traded two weeks ago for $76.5 million by Chesapeake Lodging Trust, which also acquired the Holiday Inn on West 31st Street in December. Two more are in the works on West 35th and West 37th streets, and in the fall, Lodgeworks acquired a parcel on West 38th Street with the intention of building a hotel there, too.
