The Real Deal New York

Hidrock sells stake in 16-story Courtyard by Marriott

Deal for 102K sf Herald Square property values it at $132M
By Mark Maurer | Twitter_logo_blue copy April 02, 2015 03:30PM

Hidrock Realty has sold its controlling interest in a 16-story Courtyard by Marriott hotel in Herald Square in a deal that values the property at $132 million, The Real Deal has learned.

An unidentified foreign investor with a small stake in the 102,000-square-foot building at 960 Sixth Avenue, near West 35th Street, bought out Hidrock to take majority ownership, said Hidrock COO Steven Hidary.

The development firm acquired a note secured by the largely vacant office building in 2010 for $40 million in a foreclosure auction. The property, once home to the Atlantic Bank of New York, underwent a conversion into a 167-key hotel and reopened in 2012.

The property also contains a three-story BankUnited branch at the base and Monarch Rooftop Bar. BankUnited occupies 10,000 square feet, while Monarch occupies 5,000 square feet.

There were no brokers involved with the deal, Hidary said.

“Hidrock’s objective was to add value to the property and we perfectly executed our business plan,” he added.

Just last month, Hidrock bought three Chelsea rental buildings for $35.5 million, as TRD reported.