Alfa Development is in contract to buy a development site in Chelsea for $12 million, pending the approval of bankruptcy court, Crain’s reported. The site is located at 117-119 West 21st Street, between Sixth and Seventh avenues, and used to be a Hershey factory.
Alfa is now in a “stalking horse” contract to close on the nearly 19,000-square-foot property in an all-cash deal, though a better offer could come at an early November auction sale. As it currently stands, the property is a vacant four-story warehouse and Alfa entered contract in early September.
If the court approves sale, the property will come free of liens and the $12 million closing price would cover the nearly $5.5 million original principal balance of the loan.
As The Real Deal previously reported, the asking price for the site was $15.5 million; it was listed with David Schechtman, Alan Miller and Paul Nigido of Eastern Consolidated.