David Bistricer’s Clipper to pay $103M for E. Harlem rental

Developer’s acquisition of 1955 First Ave. slated for a new REIT

New York /
Jan.January 05, 2016 02:31 PM

UPDATED: Jan. 6, 1:42 p.m.: David Bistricer’s Clipper Realty is in contract to buy an East Harlem rental building for approximately $103 million, as it seeks approval from the government for a new real estate investment trust, the developer tells The Real Deal.

The Aspen, a 232-unit building at 1955 First Avenue, has 16,000 square feet of retail at its base. Half of the building’s residential units are market rate, 30 percent are reserved for middle-income tenants and 20 percent are designated affordable.

Ariel Property Advisors’ Shimon Shkury and Victor Sozio represented the seller, a joint venture known as 100 Street Tri Venture LLC that includes L&M Development Partners, BFC Partners and River Equities.

Bistricer said Clipper plans to maintain the Aspen as a rental property. The eight-story building, completed in 2004, was constructed on what was previously a city-owned site.

The acquisition will be made through Bistricer’s forthcoming REIT, Clipper Realty Inc, which is awaiting final approval from the Securities and Exchange Commission. In August, the developer sought to raise $144 million to fund “strategic, value-add” investments, Bistricer told TRD at the time. On Tuesday, Bistricer declined to say how much had been raised, citing a “quiet period” before the SEC declares the REIT’s registration statement effective.

The REIT’s board includes Robert Ivanhoe, chair of the global real estate practice at Greenberg Traurig, Howard Lorber, chair of Douglas Elliman and CEO of its publicly-traded parent company, Vector Group, and Robert Verrone, founder of real estate finance advisory firm Iron Hound.

The pickup of 1955 First Avenue is Clipper’s first big move since beginning the process to form the REIT.

Located between 100th and 101st streets, the building is surrounded by a slew of new condominium buildings rising on the East Side between Third Avenue and the East River. There are close to 900 condo units being developed on the booming Upper East Side, according to Halstead Property Development Marketing.

Correction: A previous version of this story misstated the neighborhood where the building is located. It is East Harlem. 


Related Articles

arrow_forward_ios
1107 Fifth Avenue and Richard Eisner (CityRealty, The New Jewish Home)
EisnerAmper co-founder sells Carnegie Hill co-op for $35M
EisnerAmper co-founder sells Carnegie Hill co-op for $35M
The property on 73rd Street formerly owned by Grace Kelly. (Getty, StreetEasy)
UES townhouse rumored to have been owned by Grace Kelly sells for $25M
UES townhouse rumored to have been owned by Grace Kelly sells for $25M
Carmel Partners picks up UES dev site
Carmel Partners picks up UES dev site
Carmel Partners picks up UES dev site
Miki Naftali and (from left) The Bellemont, The Benson and 200 East 83rd
Naftali is big winner in Upper East Side condo comeback
Naftali is big winner in Upper East Side condo comeback
4001 Broadway, 1121 First Avenue, and 318 West 75th Street (Google Maps)
Tough yet schmaltzy landlord scores $53M resi sale
Tough yet schmaltzy landlord scores $53M resi sale
12 East 88th Street, Jonathan Simon of Simon Baron Development, and Barry Fox, attorney retired from Cleary Gottlieb (Rosario Candela, Cleary Gottlieb)
Seven years’ war: Simon Baron, tenant brawl over $25M penthouse
Seven years’ war: Simon Baron, tenant brawl over $25M penthouse
159 E. 64th Street (Google)
Squatters removed from Upper East Side townhouse
Squatters removed from Upper East Side townhouse
Miki Naftali makes $73M dev play on Upper East Side
Miki Naftali makes $73M dev play on Upper East Side
Miki Naftali makes $73M dev play on Upper East Side
arrow_forward_ios

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

Loading...