The Real Deal New York

Extell sells three UES walk-ups to Izaki Group for $42M

Zoning allows for a 10-story building on site
By Konrad Putzier | March 08, 2017 01:30PM

310-314 East 86th Street and Gary Barnett

Izaki Group Investments bought three adjacent Upper East Side walk-up Apartment Buildings On East 86th Street between First and Second Avenues for $42 million from Gary Barnett’s Extell Development, property records filed with the city Wednesday show.

The three properties come with as-of-right air rights and transferrable development rights from a neighboring property, allowing Izaki to build a 71,240-square-foot building up to 210 feet tall. Two of the buildings, 310 and 312 East 86th Street, stand three stories tall and the third, 314 East 86th Street, has four floors. All three buildings have commercial units in the ground floor.

JLL’s Glenn Tolchin, Yoav Oelsner and Anthony Ledesma brokered the deal. Extell bought two of the properties as recently as April 2016. Extell has been selling off some smaller development sites and assemblages over the past year, in an apparent bid to focus on major projects like the Lower East Side condo project One Manhattan Square and Central Park Tower on West 57th Street. The company still has a lengthy pipeline of construction projects.

Izaki, headed by Eldad Blaustein, did not respond to a request for comment. The firm took out a $26.8 million loan from Bank Leumi to finance the acquisition.

Izaki Most Recently Developed The Tribeca Apartment Buildings 93 Worth Street and 15 Renwick Street.