The Real Deal New York

$53M Kips Bay rental project to get $12M renovation

February 23, 2012 07:57PM
By Adam Fusfeld

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From left: Martin Nussbaum, managing partner of Silverstone Property Group, and 247 East 28th Street

Silverstone Property Group, along with equity partner RWN Real Estate Partners, plan a $12 million repositioning of the Murray Hill apartment building they acquired last week for $53 million.

As reported in the Post today, Silverstone bought the 17-story, 128-unit building at 247 East 28th Street, on the corner of Second Avenue, for $53 million from Samson Management. Steven Vegh, managing partner at Multi Investment Group, was the sole broker in the off-market transaction. The Real Deal learned that Silverstone formed an equity partnership with RWN Real Estate Partners to complete the purchase.

“The property’s size, location and below-market rents are what attracted us to the building,” said Martin Nussbaum, managing principal of Silverstone.

Nussbaum said the firm plans a complete renovation of the 109,000-square-foot property. They will gut the exterior entrance and replace it with an Apple-style cube. They will be overhauling the exterior, the lobby, all common areas and most apartments. Nussbaum said the apartments, none of which are rent-stabilized, will be modernized with luxury finishes, including “European-style” kitchens, custom cabinets and wide-planked would flooring.

Silverstone also intends to add a private exterior garden, a roof deck, a fitness center and a library and TV lounge, according to Nussbaum.

“Recognizing a great opportunity, we moved quickly to secure the property,” said Ari Shalam, managing director of RWN Real Estate Partners, in a statement through Nussbaum, securing the deal within 72 hours of being introduced to the property, according to another source with knowledge of the deal. “We are excited to turn this building into one of the premier high-end rental properties in the area,” Shalam said.

The building also has a 3,800-square-foot retail space that’s occupied by a Chase bank.

Samson Management and Vegh declined to comment.

  • Grayson_Bad

    If you stumbled upon here trying to do research about the Grayson, my advice is seriously think twice before renting here. I am a tenant here and I can tell you, it’s been a horrible disappointment. We lose heat and hot water frequently. Silverstone rented out two floors of the building, which have been used as a hotel (think people with luggage moving in and out of the building constantly, cleaning ladies hogging washers and dyers with towels and linens, etc.). The amenities are still not finished. The construction is more intrusive than the leasing agents let on and has gone on longer than I was promised it would. The super is terrible. The property managers are rude and ignore tenants. Silverstone is, in my opinion, a terrible landlord. You could find much nicer places for the amount these guys charge.

  • http://twitter.com/stevecheese louis V III

    This property is the benchmark for luxury & affordability in Manhattan apartments.
    The water is hot so is the anonymous “casual” encounters with the “cleaning ladies” hogging by the washers & dryers . The leasing agents let on about getting intrusive , it definitely went on Longer than it should but it finished in the amenities room as promised. You can’t find much nicer for what they charge , they should name it the Krayson !!!

  • Rabbi Goddard

    I just had such a shocking conversation by email with martin nussbaum, co-owner of silverstone property group wherein I tried to address the issues regarding the poor service, false promises, and religious blasphemy provided by Silverstone Property Group.
    what a insensitive and callous person. if anyone wants to read it email
    me at monsterlandstudios@yahoo.com anyone thinking about doing business
    with martin nussbaum should read this email thread first.this man claims
    to be jewish but he is not!

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