The Real Deal New York

Midtown East building ripe for boutique hotel conversion trades for $16.4M

“The $1,000-per-foot building metric is a lasting phenomenon”: David Schectman
October 09, 2013 09:00AM

A small Midtown office building just off Fifth Avenue has sold for $16.4 million – or just north of $1,000 per square foot — to a Korean investor making his debut in the New York City market.

The 16,115-square-foot building at 4 East 46th Street comes with 30,000 square feet of air rights, making it a viable prospect as a boutique hotel. The building could also receive additional air rights if the Midtown East rezoning proposal is approved.

The buyer, Tony Park of PD Properties, has secured a dentistry practice which has over 200 locations worldwide as the anchor tenant, the New York Post reported. The building is the longtime home of Ed Friedman’s DJM Post Production, a popular film-editing company. Friedman will vacate the five upper floors of the building next year. Vitae Restaurant occupies the first, mezzanine and basement levels.

The property was marketed by Eastern Consolidated’s David Schechtman and Steven Zimmerman. “The $1,000-per-foot building metric is a lasting phenomenon,” Schectman told the Post. [NYP]  – Hiten Samtani