Stellar, Imperium near deal for 220 Fifth Ave. leasehold

21-story NoMad office building also has resi, retail and storage space

New York /
Nov.November 29, 2016 05:44 PM

Larry Gluck’s Stellar Management and Imperium Capital are close to entering contract to acquire the leasehold interest for the 21-story mixed-use building at 218-220 Fifth Avenue in NoMad, sources told The Real Deal.

The 150,900-square-foot building at the corner of East 26th Street mostly holds offices – 125,000 square feet – but also has small residential, retail and storage components, records show.

Sources familiar with the building pegged the value of the leasehold at around $800 per square foot, or in the $120 million-to-$150 million range depending on the square footage of leasable space included.

Sources said Stellar and Imperium are expected to sign a contract by year’s end. There are no brokers, though Progress Capital Advisors’ Kathy Anderson is serving as an adviser on the deal.

The deal would result in the creation of a leasehold for the building. Dino Tomassetti Jr.’s Brooklyn-based Dino & Sons Realty Corporation has owned the property outright since 1991, records show. In 2014, Tomassetti secured a $35 million loan from New Jersey-based Investors Bank, as brokered by Progress Capital.

Anderson declined to comment, as did Stellar. Imperium and Dino & Sons could not be immediately reached.

Office tenants include law firm Weiner Millo Morgan & Bonanno, pharmaceutical news publication Chain Drug Review and real estate investor Atit Jariwala’s Bridgeton Holdings. Belgian Beer Café occupies the retail space on the bottom two floors.

Public policy organization Demos recently vacated a three-floor, 13,860-square-foot spread for a space at 80 Broad Street in the Financial District. The company had the largest footprint in the building, according to CoStar data.

Asking rents for NoMad office space are in the $50s and $60s per square foot.

The building, constructed in 1912 and formerly known as the Croisic Building, is part of the Madison Square North Historic District.

Stellar and Imperium previously partnered on the 750,000-square-foot office-and-retail project One Soho Square, a merging of two buildings they bought for $200 million in 2012. In August, Stellar bought out Rockpoint Group’s 25 percent stake in the project, thus valuing it at $650 million.

Elsewhere in NoMad, the Schwalbe family is looking to sell the land beneath its 12-story office building at 149 Madison Avenue, near East 32nd Street.


Related Articles

arrow_forward_ios
Census tract 135 and Stellar Management's Larry Gluck (Credit: Getty Images and Stellar Management)
How a small stretch of land on the Far West Side became an Opportunity Zone
How a small stretch of land on the Far West Side became an Opportunity Zone
277 Fifth Avenue and Shokai Group's Shawn Xianyang Zhang (277 Fifth Avenue/Rafael Viñoly, Shokai Group)
Shokai Group picks up unsold NoMad condos for $81M
Shokai Group picks up unsold NoMad condos for $81M
Safehold snares ground lease under Ron Burkle’s troubled NoMad Hotel
Safehold snares ground lease under Ron Burkle’s troubled NoMad Hotel
Safehold snares ground lease under Ron Burkle’s troubled NoMad Hotel
Vanbarton Group’s Gary M. Tischler and Richard Coles with Marble Collegiate Church at 1 West 29th Street (Getty)
Vanbarton Group, church sued by foreign investors in fallout from HFZ debacle
Vanbarton Group, church sued by foreign investors in fallout from HFZ debacle
Jeff Bezos and 212 Fifth Avenue (Daniel Oberhaus/Flickr, Google Maps)
Jeff Bezos buys fifth unit at 212 Fifth Avenue
Jeff Bezos buys fifth unit at 212 Fifth Avenue
What tenants pay at Stellar Management’s One Soho Square
What tenants pay at Stellar Management’s One Soho Square
What tenants pay at Stellar Management’s One Soho Square
Amir Loloi and 260 Fifth Avenue (Loloi, Google Maps)
With $52M sale to Texas rug maker, plan for oligarchs’ tower unravels
With $52M sale to Texas rug maker, plan for oligarchs’ tower unravels
11 East 26th Street with Henry and Justin Elghanayan (Google Maps, Getty)
Rockrose investment values Nomad office building at $235M
Rockrose investment values Nomad office building at $235M
arrow_forward_ios

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

Loading...