The Real Deal New York

Macklowe Properties could expand retail at 432 Park

Moved to demolish adjacent building allows developer to expand footprint
By E.B. Solomont | January 30, 2015 04:15PM

With a move to demolish a five-story building adjacent to 432 Park Avenue, Macklowe Properties appears to be eyeing an expansion of the skyscraper’s retail footprint.

Demolition permits were filed today for the narrow commercial building at 36 East 57th Street that abuts 432 Park’s retail component facing 57th Street. The 25-foot wide building changed hands for $65.3 million in August, when Robert Zirinsky bought the 9,148-square-foot building from Solil Management, the company that controls the assets of late real estate mogul Sol Goldman. The building has 37,000 buildable square feet.

The demolition permit was filed by New York Medical Investors LLC, which shares an address with Zirinsky, and by Macklowe Properties. The permit included an email address for David Dods, the senior project executive for 432 Park, and a phone number for Mary Leprohon, Macklowe Properties’ controller and treasurer.

In July, Macklowe and an unidentified foreign equity partner snagged the retail portion of 432 Park for $450 million, as The Real Deal reported. Previously, the developer had approached owners on 57th Street in an attempt to create a larger retail presence on the red-hot retail corridor.

Zirinsky did not immediately return a call seeking comment. Macklowe Properties declined to comment.

A clause in the deed for 36 East 57th Street states that the buyer cannot sell the building or transfer interest before July 30, 2016, unless “considered payment is made” to the seller.