Unizo to sell Hell’s Kitchen office building for a loss

Japanese-based investor is looking at a net loss of roughly $30M across three sales

TRD New York /
Oct.October 02, 2018 03:01 PM

From left: Steve Ross, 321 West 44th Street, and East End Capital’s Jonathon Yormak and David Peretz (Credit: Getty Images, CoStar, and East End Capital)

Japan-based investor Unizo Holdings is set to sell another Manhattan property at a loss.

Related Companies’ fund management arm and East End Capital are competing to buy 321 West 44th Street, Crain’s reported.

East End Capital had previously owned the 180,000-square-foot building west of Times Square and has a right of first refusal option to match any offer made by Related.

A source told Crain’s that the property is expected to sell to either one of the two parties for around $150 million. That would be a roughly $15 million loss on the $165 million Unizo spent to acquire the property in 2015.

This would be the second office building Unzio – which changed its name from Jowa Holdings – is expected to sell at a loss.

The company recently reached a deal to sell 370 Lexington Avenue to Broad Street Development for around $190 million. That’s about $57 million less than the price Unizo paid to buy the 27-story, 311,000-square-foot property in 2015.

The investor has had better luck with 440 Ninth Avenue. Unizo has a deal to sell the 400,000-square-foot office building to TH Real Estate and Taconic Investment Partners for $290 million, or about $40 million more than it paid for the property in 2013.

Across the three deals, Unizo is looking at a net loss of $30 million.

The Cushman & Wakefield sales team led by Adam Spies and Doug Harmon is marketing the properties at 370 Lexington Avenue and 321 West 44th Street, while CBRE’s Darcy Stacom and Bill Shanahan are handling the sale of 440 Ninth Avenue. [Crain’s] – Rich Bockmann


Related Articles

arrow_forward_ios
Related's Jamar Adams and Steve Ross with 14-06 Gateway Boulevard (Credit: Getty Images and Google Maps)

Related is the latest developer to target the Rockaways

Related is the latest developer to target the Rockaways
Mayor Bill de Blasio and Gov. Andrew Cuomo (Getty, Paul Dilakian)

Despite looting, NYC reopening on track: Cuomo

Despite looting, NYC reopening on track: Cuomo
(Photos by Sylvia Varnham O'Regan, Getty)

After looting, BIDs reverse guidance on boarding up stores

After looting, BIDs reverse guidance on boarding up stores
“5 years ago, people would say, what’s a TikTok?” Bill Rudin on why NYC’s office market may be more resilient than you think

“5 years ago, people would say, what’s a TikTok?” Bill Rudin on why NYC’s office market may be more resilient than you think

“5 years ago, people would say, what’s a TikTok?” Bill Rudin on why NYC’s office market may be more resilient than you think
Clockwise from bottom left: Robert Reffkin of Compass, John Gomes, Scott Rechler of RXR Realty, Rich Barton of Zillow, Gary Keller of Keller Williams and Don Peebles of The Peebles Corporation (Getty)

“America is in crisis:” Real estate leaders address George Floyd protests

“America is in crisis:” Real estate leaders address George Floyd protests
A mass timber project in Cleveland is now under construction and could be the nation’s tallest when completed. Harbor Bay Real Estate Advisors’ Intro development will rise nine stories with 298 residential units (Credit: Harbor Bay Real Estate Advisors)

Mass timber project in Cleveland could be nation’s tallest

Mass timber project in Cleveland could be nation’s tallest
Joy Construction’s Eli Weiss (left), Maddd Equities’ Jorge Madruga (top), and Drew Katz with 20 Bruckner Boulevard in the Bronx (Getty; Google Maps)

“Dream” comes true for long-vacant Bronx ice house

“Dream” comes true for long-vacant Bronx ice house
“We’re not in the business of land-grabbing:” Hana CEO on the future of flex space

“We’re not in the business of land-grabbing:” Hana CEO on the future of flex space

“We’re not in the business of land-grabbing:” Hana CEO on the future of flex space
arrow_forward_ios

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

Loading...