Nightingale, Friedland buy Madison Ave. lease for $76M

Office building at corner of 60th Street has 36k sf of retail available

New York /
Oct.October 28, 2015 01:10 PM

Nightingale Properties and the Friedland Properties bought an $76 million operating lease for a prime corner property on Madison Avenue, eyeing a quick upside from the building’s retail portion.




Behind the story:

Friedland Properties

645 Madison Avenue

The joint-venture partners closed Monday on a long-term lease at 645 Madison Avenue, a 157,000-square-foot office building at the corner of 60th Street. While the office portion of the building, which reportedly has asking rents north of $100 per square foot, is full, the corner property has 36,000 square feet of vacant retail space.

TF Cornerstone had leased the building from a group of investors led by Richard Baker, chairman of Canadian retail giant Hudson’s Bay Company, whose family has owned the land underneath for decades.

Nightingale and Friedland plan to infuse capital into the building, said HFF managing director Rob Rizzi, who represented the joint venture along with colleagues Eric Anton, Andrew Scandalios, Richard Reid and David Fowler.

“Both parties worked incredibly quickly to get through diligence and consummate a landmark transaction,” Anton said.

Asking rents on Madison between 57th and 72nd streets are among the highest in the city at an average of $1,700 per square foot, according to the Real Estate Board of New York’s most recent report. Deals for some spaces, though, are going for north of $2,000 per square foot.

This is the first deal in Manhattan for Midtown-based Nightingale, which partners Elie Schwartz and Simon Singer founded in 2005. Nightingale teamed up with Infinity Real Estate last year to buy a pair of mixed-use properties in Brooklyn’s Midwood neighborhood for $79.1 million.

Dynastic family firm Friedland is one of Madison Avenue’s largest retail landlords. The company has recently turned to residential development with projects like a planned 17-story apartment building in the Flatiron District.

Correction: A previous version of this story incorrectly stated the price. It is $76 million. 


Related Articles

arrow_forward_ios
645 Madison Avenue with Friedland Properties Principal Lawrence Friedland and Nightingale Properties CEO Elie Schwartz (Google Maps, Nightingale, Friedland)
Lender seizes 645 Madison Avenue leasehold from Nightingale, Friedland
Lender seizes 645 Madison Avenue leasehold from Nightingale, Friedland
David and Simon Reuben with 828 Madison Avenue (Getty, Google Maps)
Reuben Brothers to buy Vornado buildings on Madison Ave
Reuben Brothers to buy Vornado buildings on Madison Ave
Madison Avenue may be losing its iconic status as it struggles to regain its former foot traffic from pre-pandemic days. (Getty)
Madison Avenue’s shopping sorrows
Madison Avenue’s shopping sorrows
TF Cornerstone president Fredrick Elghanayan and 595 Dean Street (TF Cornerstone, rendering via MOSO Studio)
TF Cornerstone scores $385M loan for Prospect Heights apartment towers
TF Cornerstone scores $385M loan for Prospect Heights apartment towers
Renderings of 175 Park Avenue (Rendering via SOM)
Developers unveil plans for 1,600-foot tower at Grand Central
Developers unveil plans for 1,600-foot tower at Grand Central
TF Cornerstone president Fredrick Elghanayan and an aerial of 54-01, 54-19 2nd Street in Long Island City (Credit: TF Cornerstone and Google Maps)
No Amazon, no problem: TF Cornerstone plans 1,400 apartments in LIC
No Amazon, no problem: TF Cornerstone plans 1,400 apartments in LIC
Pop-ups have become increasingly popular in recent years. Consumer spending last year totaled $8.4 billion (Getty)
Pop-ups offer potential lifeline to luxury streets
Pop-ups offer potential lifeline to luxury streets
Right to left: 831, 835 and 837 Madison Avenue (Google Maps)
“The ’57 Chevy in that old lady’s garage”: Madison Avenue buildings up for sale in litmus test for retail real estate
“The ’57 Chevy in that old lady’s garage”: Madison Avenue buildings up for sale in litmus test for retail real estate
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...