Isaac Chetrit quietly shopping Sixth Avenue development site

Garment District player is weighing offers while pursuing plans for a skyscraper over 70 stories

New York /
Oct.October 10, 2017 02:25 PM

Isaac Chetrit and Ray Yadidi are quietly shopping their development site along a prime strip of Sixth Avenue in Midtown’s Garment District, The Real Deal has learned.

The investors’ companies, AB & Sons and Sioni Group, are considering scrapping plans for a mixed-use skyscraper of at least 70 stories on a site with 375,000 buildable square feet, sources said. The assemblage occupies almost a full block along Sixth Avenue between West 36th and 37th streets.

Although the firms haven’t hired a broker to officially market the site, they have received several offers north of $200 million from prospective buyers, sources said. At least one offer was in the $225 million range, sources added. At $200 million, for example, the price per buildable square foot would be $533.

Work on the project has already started. Demolition is underway at 993 Sixth Avenue and construction plans are being drawn, sources said. But if the firms, which are primarily investors and have not tackled a ground-up project of this scale, would sell if they get a good offer, sources said.

Chetrit and Yadidi finalized the assemblage in 2016, with the $26 million purchase of 235,000 square feet of air rights affiliated with the landmarked Haier Building from Himmel & Meringoff Properties. The assemblage also includes the 21-story office building at 989-991 Sixth Avenue and a unfinished hotel project at 993 Sixth Avenue. Chetrit and Yadidi paid $49 million in 2007 for the former and $54.3 million in October for the latter, property records show.

Representatives for AB & Sons and Sioni Group declined to comment.

The firms have yet to file a permit application for a new building, hire an architect or secure construction financing. Earlier this year, they were negotiating with two prominent international architects, Christian de Portzamparc and Jean Nouvel, sources said at the time.

The market for Manhattan development sites appears gaining steam again after a period of decline. Recent deals include Skyline Developers’ $83 million purchase of 12-18 West 55th Street, Sam Chang’s roughly $60 million pending purchase of 140-142 West 24th Street , and Extell Development’s $80 million purchase of 2551-2555 Broadway.

Chetrit, who is a cousin of development mogul Joseph Chetrit, is also redeveloping a former retail building at 1420 Broadway into a new hotel, and planning to open a new rooftop bar at the 24-story building next door at 1412 Broadway by year’s end.


Related Articles

arrow_forward_ios
WhyHotel opening living space at Rudin’s 110 Wall Street
WhyHotel opening living space at Rudin’s 110 Wall Street
WhyHotel opening living space at Rudin’s 110 Wall Street
44 West 37th Street and Ray Yadidi of the Sioni Group (Google Maps, LeadCandy)
Yadidis sell Midtown South office building for $49M
Yadidis sell Midtown South office building for $49M
Construction labor management platform Bridgit raises $24M
Construction labor management platform Bridgit raises $24M
Construction labor management platform Bridgit raises $24M
The boom is largely fueled by investors snagging a large number of single properties in a multitude of deals, rather than previous booms featuring plentiful portfolio sales, or sales of entire companies. (iStock)
CRE has biggest-ever sales quarter
CRE has biggest-ever sales quarter
Givenchy is open at 92 Greene Street in Soho NYC and Gucci has a pop up 446 West 14th Street in Meatpacking District NYC. (Google Maps, Thor)
Tony retailers flocking back downtown
Tony retailers flocking back downtown
Lennar, Icon teaming up on 3D-printed development
Lennar, Icon teaming up on 3D-printed development
Lennar, Icon teaming up on 3D-printed development
Long Island industrial vacancy rate 40% lower than pre-pandemic
Long Island industrial vacancy rate 40% lower than pre-pandemic
Long Island industrial vacancy rate 40% lower than pre-pandemic
CHIP Executive Director Jay Martin, RSA President Joseph Strasburg and Gov. Kathy Hochul (Getty, Strasburg via Jeffersons Siegel)
Landlords smell “good cause” in Hochul’s new tenant protections
Landlords smell “good cause” in Hochul’s new tenant protections
arrow_forward_ios

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

Loading...