Nightingale pays Extell $28M for Midtown leasehold

Ground lease at 20 East 46th reportedly has 27 years left

New York /
Jun.June 21, 2016 03:30 PM

Simon Singer and Elie Schwartz’s Nightingale Group acquired the ground lease for a 15-story Midtown office building from Extell Development, according to property records filed with the city Tuesday.

The firm paid $27.7 million for the leasehold at 20 East 46th Street, records show. The lease reportedly had 27 years left when Extell sold it to Nightingale.

Extell paid $17.4 million for the ground lease in 2006 from George Comfort & Sons. Extell first put the leasehold on the market back in 2012, asking $25 million for the property.

Representatives for Nightingale and Extell didn’t immediately respond to requests for comment.

The land is owned by the estate of Sol Goldman via Solil Management Corporation, which manages the assets of the late real estate mogul.

The 87,000-square-foot building, located between Madison and Fifth avenues, is largely leased to medical office tenants. It’s unclear how much of the building is occupied.

Overall, Midtown asking rents increased 2.3 percent to $78.42 per foot during the first three months of 2016, according to Cushman & Wakefield. Class A rents also grew 2.3 percent to $83.54 per foot. The Midtown vacancy rate was 9.3 percent.

The deal at 20 East 46th is about a dozen blocks south of Nightingale’s debut Manhattan purchase. 

Founded in 2005, the Midtown-based firm partnered with Friedland Properties last year to buy a $76 million operating lease at 645 Madison Avenue from TF Cornerstone. At the time, the 157,000-square-foot building had about 36,000 square feet of vacant retail space.


Related Articles

arrow_forward_ios
Extell Development's Gary Barnett (Credit: Getty Images and iStock)

Chelsea residents paid Gary Barnett $11M to protect their views from a planned tower

Chelsea residents paid Gary Barnett $11M to protect their views from a planned tower
Central Park Tower

Extell just went public with Central Park Tower listings

Extell just went public with Central Park Tower listings
Gary Barnett taps outsider as CEO of Extell

Gary Barnett taps outsider as CEO of Extell

Gary Barnett taps outsider as CEO of Extell
11 Penn Plaza and Apple CEO Tim Cook (VNO; Getty)

Apple snags more space at Vornado’s 11 Penn Plaza

Apple snags more space at Vornado’s 11 Penn Plaza
Joseph Tabak

Portrait of a deal junkie: The Joseph Tabak story

Portrait of a deal junkie: The Joseph Tabak story
(Google Maps)

Manhattan’s Roosevelt Hotel is closing its doors for good

Manhattan’s Roosevelt Hotel is closing its doors for good
Extell's Gary Barnett and a rendering of 50 West 66th Street (Courtesy of Snøhetta)

Judge throws cold water on Extell’s UWS condo development

Judge throws cold water on Extell’s UWS condo development
Facebook CEO Mark Zuckerberg, a rendering of the Farley Post Office building redevelopment and Vornado's Steve Roth (Credit: Getty Images, VNO)

Facebook snagged $100M discount on Farley Post Office deal

Facebook snagged $100M discount on Farley Post Office deal
arrow_forward_ios

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

Loading...