Witkoff to spend $300M on Toy Center building conversion

May 31, 2013 10:00AM

The Witkoff Group will shell out $300 million on its 10 Madison Square West condominium conversion project, the New York Times reported.

The developer paid $190 million at auction in 2011 for the 16-story 380,000-square-foot building at 1107 Broadway that was once part of the International Toy Center, CEO Steven Witkoff told the Times. The property will be converted into 125 luxury condominiums.

“We originally came in thinking we were going to look at it as an office property,” Witkoff said of the former Toy Building North, but he reconsidered after realizing the residential appeal of the location.

Douglas Elliman Development Marketing will handle sales at the building, set to hit the market in June. Prices will begin at roughly $1 million for a one-bedroom and inch north of $25 million for the five-bedroom penthouse.

Developers have previously tried condo conversions at the building, but have faced problems with long-standing business tenants. Witkoff has demolished a 40,000-square-foot portion of the building on the northwestern side of its horseshoe-shaped structure, and will use that square footage to add six stories to the top of the building. The demolished space will be turned into a private courtyard for residents.

Witkoff — who is also behind the condos at 150 Charles Street — was recently revealed by The Real Deal as having ties to indicted Russian mobster Anatoly Golubchik. [NYT]  – Hiten Samtani