Moinian Group will combine 12 condos at W Downtown into $40M penthouse

May 17, 2013 01:00PM

Developer Joseph Moinian is planning to combine the top two residential floors of the W New York Downtown Hotel and Residences into one 12,000-square-foot duplex penthouse priced at $40 million, the New York Times reported.

By pooling 12 units on the 55th and 56th floors of the hotel at 123 Washington Street, he hopes to capitalize on the trophy apartment trend. The home comes with a $2 million credit toward construction and design. Moinian intends for this to help with marketing and selling the remaining 80 units in the building, the Times said.

“This is a big number to swallow for the neighborhood,” Ariel Cohen of Douglas Elliman told the Times. “But if you pay between $2,500 and $3,000 a square foot and hold it for 5 to 10 years, it isn’t a far-fetched investment.”

At the W Downtown, the average asking price is about $2,300 a square foot, the Times reported, citing StreetEasy data. If the dozen units were purchased separately, they would cost a total of $28 million, brokers said.

Last month, Moinian filed a new application with the Department of Buildings for a massive 61-story residential tower at 605 West 42nd Street.

At another Moinian-developed condo tower, the Atelier at 635 West 42nd Street in Hell’s Kitchen, a similar combination hit the market in April. Nine units spanning the entire 45th floor are available to buy, asking $85 million with a $2 million construction credit. [NYT]Mark Maurer