Hedge funder Dan Loeb paid $24M for 90% stake in LIC warehouse

Third Point chief teaming w/ Brickman to redevelop 150K sf property into office space

TRD New York /
Mar.March 25, 2016 11:30 AM

When it emerged last summer that hedge funder Daniel Loeb was teaming up with real estate firm Brickman to redevelop a Long Island City warehouse, it was viewed as a testament to the Queens neighborhood’s burgeoning office market.

Now it has emerged that Loeb, who helms Third Point Investment but is investing in the project individually, paid Brickman just over $24 million for a 90 percent stake in the 150,000-square-foot property at 30-02 48th Avenue, according to property records filed with the city Friday. The deal closed March 8.

The two partners plan to spend millions refurbishing the three-story building, which will likely target the TAMI and creative office tenants that are increasingly looking to the outer boroughs for work space – and subsequently driving up office rents in markets like Long Island City.

Renovations are set to include a new lobby, elevators and a roof deck, Crain’s reported last year.

Loeb’s stake in the project was unclear before the deal with Brickman hit property records, and the transaction shows how the redevelopment’s value has increased since Brickman acquired the warehouse for $21 million in 2013.

Long Island City’s commercial real estate market has only heated up in that time, with recent office plays by the likes of RXR Realty and Vornado Realty Trust followed by a wave of similar warehouse-to-office repositions.

Neither Loeb nor Brickman returned requests for comment.

Related Articles

Jackson Park at 28-40 Jackson Avenue and Tishman Speyer's Rob Speyer (Credit: StreetEasy and Tishman Speyer)

Tishman Speyer locks in $1B in financing for Jackson Park

Clutter CEO and co-founder Ari Mir, and clockwise from left: 280 Fullerton Avenue, 1 Holland Avenue, 3046 Northern Boulevard and 5601 Foster Avenue (Credit: Linkedin, Google Maps)

Self-storage startup Clutter makes its first real estate play with $152M deal

43-20 49th Avenue in Long Island City and Andrew Chung of Innovo Property Group (Credit: Google Maps)

Andrew Chung tees up Queens’ biggest deal of 2019

Court Square Place at 24-01 44th Road in Queens and The New York Times' A.G. Sulzberger (Credit: Google Maps and Getty Images)

All the news that’s fit for Queens: NYT inks lease in Long Island City

Corcoran President & CEO Pamela Liebman (Credit: Corcoran, Getty Images)

Welcome to Queens: Corcoran opens first borough outpost

A rendering of Skyline Tower (Credit: Skyline Tower LIC)

A luxury development in LIC is to blame for viral subway flooding video: MTA

Clockwise from top left: 950 and 957 Woodycrest Avenue in the Bronx and 47-50 30th Street in Queens (Credit: Google Maps)

Here’s what the $20M-$30M NYC investment sales market looked like last week

5Pointz Towers and David and Gerald “Jerry” Wolkoff (Credit: CityRealty and Pixabay)

“We were always pro-artist”: Developer that knocked down 5Pointz wants to patch up relationship with NYC artists