The Real Deal New York

Ashkenazy mulls 150-key hotel south of PA Bus Terminal 

Developer looking to purchase building bonuses for property
By Rich Bockmann | August 08, 2016 05:50PM

Ben Ashkenazy and the site at 609 8th Avenue

Ben Ashkenazy and the site at 609 Eighth Avenue

A Garment District block that’s got more bellhops than seamstresses may be getting yet another hotel.

Ben Ashkenazy’s Ashkenazy Acquisition Corporation has plans to develop a site on Eighth Avenue that could include a 150-key hotel.

The block, between West 39th and 40th streets just south of the Port Authority Bus Terminal, is already home to a number of limited-service hotels including several developed by Sam Chang and one in the works by Abraham Noy.

Ashkenazy TRData LogoTINY is planning to develop its site at 609-611 Eighth Avenue, which is currently home to an Arby’s restaurant and a space soon to be occupied by Filipino fast-food chain Jollibee.

The developer filed an application with the Department of City Planning to purchase 31,600 square feet of building bonuses available in the Hudson Yards area for $3.97 million. With the as-of-right buildable square footage, that would give the developer a total of 71,100 square feet of development rights that Ashkenazy said it is contemplating using for either a limited-service hotel atop a two-story retail base or a commercial-and-residential building.

Ashkenazy bought the property at 609-611 Eighth Avenue in 2014 for $30 million, property records show, and at the same time picked up a leasehold interest at the property next door at 601 Eighth Avenue for $8 million.

A representative for the developer did not respond to a request for comment.