Related sells Bronx buildings for $25M

The rent-stabilized properties sold for the third time in four years
By Eddie Small and Mark Maurer | November 03, 2017 01:02PM

The Related Companies sold two rent-stabilized Bronx buildings to L.A.L. Property Management Corporation for $25 million, the buyer confirmed to The Real Deal.

The buildings at 213-217 West 238th Street and 3800-3806 Bailey Avenue contain a total of 122 rental apartments, and Related purchased them from Josh Gotlib’s Black Spruce Management in 2015 for $19.5 million. Black Spruce had paid $12 million for them in 2014, records show.

The Bailey Avenue building spans 61,000 square feet and stands six stories tall, while the West 238th Street building spans 45,000 square feet and stands five stories tall.

Aaron Jungreis

Aaron Jungreis and Billy Billitzer of Rosewood Realty Group brokered the deal.

Related Companies did not respond to a request for comment.

Les Lerner, president of L.A.L., said his company was interested in the buildings because of their location in Kingsbridge, which he described as an extremely up-and-coming neighborhood.

“We’re going to leave as is,” he said of the properties, “but renovate at each apartment when and if each apartment vacates.”

L.A.L. sold a 10-building portfolio of multifamily buildings in the Bronx over the summer for $26.5 million.

Related is also planning two new buildings in Far Rockaway and recently entered contract with Nightingale Properties to sell its office-and-retail development 300 Lafayette Street in Soho.