Upper West Side portfolio hits market for $89M

Six-property package includes a mix of rent-stabilized and market-rate apartments, retail
By Julie Strickland | April 07, 2014 12:14PM

A six-building Upper West Side portfolio near Columbia University has gone on the market with an asking price of $89 million.

The package originally consisted of eight buildings, Marcus & Millichap broker Marco Lala told The Real Deal. The northernmost duo, near City College, sold in late December. The remaining properties are located at 500 Cathedral Parkway and West 110th Street; 3143, 3147 And 3149 Broadway; 111 West 104th Street and 242 West 109th Street. The properties are being marketed by commercial brokerage Marcus & Millichap. Marco Lala, Jack Lala and David Raciti have the collective listings, which include 152 apartment units, 97 of which are market rate, and six retail spaces that currently have five tenants. Two of the properties are elevator buildings, while four are walk-up apartments. The majority of the residential units have recently undergone gut renovations.

The properties are family-owned. The patriarch of the group opted to sell the portfolio as he moves into a different stage of his investing career and while the market around Columbia heats up, Lala said. He declined to name the seller.

“The seller and patriarch of the family lives in Florida, and has a family member up here who helps manage properties in New York,” Lala said. “They sold two of the eight buildings through me here in New york, and they’re buying a deal in Florida through our firm. The hope is to reposition their equity with something less management intensive.”

Lala told The Real Deal that the assets offer a buyer a set of stable assets near Columbia University, with a combination of market-rate and rent-stabilized properties in buildings that “are in excellent shape.”

“You’re looking at New York City properties that are extremely well-maintained, long-term family owned, not one of these hot potatoes that’s traded every three or four years,” he said of the portfolio. “[For] somebody looking to make an entry to the New York City marketplace or one of the entrenched families looking for future stabilized assets, I think it’s a great opportunity.”