Akelius Real Estate Management is moving deeper into the Manhattan multifamily market with the $100 million purchase of two adjacent Chelsea rental buildings, the firm told The Real Deal.
The contiguous buildings at 225 West 23rd Street and 220 West 24th Street have a total of 245 apartments, a mix of free-market and rent-stabilized.
The firm, which is the U.S. arm of Swedish real estate giant Akelius, closed Thursday on the deal, paying $808 per square foot and $408,000 per unit.
The seller, Atlas Capital Group, made a quick and hefty profit on the properties. The investment firm bought them from Rao & Rao in 2015 for $72.9 million, and have now sold them for nearly $30 million more in just over two years.
“We will continue to cherry-pick acquisitions and seek out long-term holds,” said Kunal Chothani, who has been head of Akelius’ New York operation since it launched in 2015.
The two deals bring Akelius’ total New York City holdings to 1,460 rental apartments, Chothani said. The firm started off targeting heavily rent-stabilized Brooklyn portfolios, but has increasingly added more market-rate units through Manhattan acquisitions such as the 199-unit Gramercy building it bought in 2015 for $167.5 million.