Normandy, Drake Street, GEM buy LIC warehouse for $35M

Francis Greenburger's Time Equities was the seller
November 11, 2015 09:10AM

A 110,000-square-foot warehouse and office space in Long Island City changed hands this week, with the new owners possibly eyeing an office redevelopment.

A joint venture between Normandy Real Estate Partners, Drake Street Partners and GEM Realty Capital bought the property, at 47-37 Austell Place, for $35 million from seller Time Equities.

HFF’s Jeff Julien, Eric Anton and David Fowler represented Time Equities in the transaction. The buyers didn’t utilize a broker, the New York Observer reported.

“There was substantial demand for the property as a value-add office redevelopment,” Julien told the Observer. “Due to LIC’s attractive loft warehouse building stock, transit infrastructure and access to Midtown, it is an attractive investment profile.”

The building’s sole tenant is newspaper delivery service Mitchell’s NY, which holds a seven-year lease, signed last year, taking 40,000 square feet.

Last month, Normandy closed on the sale of the 739,000-square-foot 575 Lexington Avenue in Midtown to Angelo, Gordon & Co for $510 million. [NYO]Ariel Stulberg