The Real Deal New York

Keystone to build luxury condo in West Village

By Katherine Clarke | February 28, 2013 11:00AM

Acquisitions and development firm the Keystone Group is set to bring a luxury residential development to a prime West Village site at 130 Seventh Avenue South, The Real Deal has learned.

The company, headed by Erez Itzakhi, plans to develop an existing single-story commercial building at the site, once home to Veranda restaurant, into a new seven-story condominium with retail on the ground floor.

Keystone paid $6.3 million, or $1,983 per square foot, for the 3,500-square-foot property, between Charles and West 10th streets, in December, public records show. It was previously owned by real estate investor Hal Negbaur. NYC Management, an affiliate of Besen & Associates, managed the building on behalf of Negbaur, who had owned it since 1980, and brokered the sale.

The existing building is on a triangular shaped lot and is located within the Greenwich Village Historic District. Keystone did not respond to requests for comment on how many units the building will have or the timeline for the site’s development.

Itzhaki handed control of his eponymous brokerage firm Itzhaki Properties to a new partner early last year in order to focus on Keystone, The Real Deal previously reported. The company has been actively acquiring and developing properties and is in the process of completing a luxury condominium conversion at 391 Broadway in Tribeca.

Veranda ceased operations recently after its license was revoked by the New York State Liquor Authority for operating illegally as a nightclub. In January, it lost a battle with the authority to regain the license, it was previously reported.