The Real Deal New York

Zar Property nabs Midtown office building for $83M

Building was formerly owned by Ascot Properties
By Katherine Clarke | February 15, 2017 08:30AM

Dario Zar and 250 West 54th Street

Zar Property NY made a rare acquisition Thursday, closing on a Midtown office building for more than $83 million, sources told The Real Deal.

The property, a 13-story building at 250 West 54th Street with 163,000 rentable square feet, was formerly owned by Ascot Properties Company, an investment firm that bought it in 1978. The deal pencils out to approximately $509 per square foot.

Paul Davidson TRData LogoTINY of Newmark Grubb Knight Frank brokered both sides of the transaction. Neither Davidson nor Zar immediately responded to requests for comment.

Ascot Properties could not immediately be reached.

The building is home to Crunch Fitness, which leases close to 25,000 square feet on the lower levels, and a variety of smaller users in the office space upstairs.

Zar, headed by Dario and David Zar, plans to allow the leases to expire upstairs and replace them with tenants taking larger blocks of space, sources said.

The deal adds to Zar’s holdings in Midtown, which also include the JPMorgan Chase building at 349 Fifth Avenue at 34th Street across from the Empire State Building. The company, a long-term holder of its assets, bought that building for just under $20 million in 2009.