The Real Deal New York

Zegen captures Brooklyn Whale Building in $82.5M deal

Deal is Madison Realty's second office purchase in borough
August 11, 2015 04:17PM

There will be no swabbing of the decks at 14 53rd Street, the behemoth office Sunset Park building purchased by Madison Realty Capital for a leviathan $82.5 million.

Josh Zegen’s investment firm bought the seven-story, 400,000-square-foot industrial building –– known as the “Brooklyn Whale Building” for being the one-time home of the Whale Oil petroleum company –– from real estate investor Harry Skydell, Crain’s reported.

Skydell pumped about $8 million into renovating the building and Madison Realty plans to make millions more in improvements.

The property sits about a mile south of Industry City in Sunset Park.

The move signals a doubling down on the Brooklyn office market for Madison Realty. Madison dipped into Brooklyn office market earlier this year, spending $50 million to purchase the 215,000-square-foot property at 29 Ryerson Street, near the Brooklyn Navy Yard. – Rich Bockmann