The Real Deal New York

A pair of East Village condo buildings are going up for auction

Properties at 436 and 442 East 13th Street have projected sellout of about $37M
By Eddie Small | December 19, 2018 05:05PM

436-442 East 13th Street (Paramount Realty USA)

A pair of new condos in the East Village from the Amirian Group are going up for auction amid concerns about absorption rates and a desire to speed up the sales process.

Paramount Realty USA, a real estate firm that specializes in auction sales, announced Wednesday that it would auction off the buildings at 436 and 442 East 13th Street, which have a projected sellout of $37 million. Bidders will get to name their prices for some or all of the units, and a bulk purchase could lead to a discount of up to 25 percent, according to Paramount.

Interior views of 436-442 East 13th Street (Paramount Realty USA)

The properties are known as Thirteen East + West, and Amirian Group and its former partner Bridgeton Holdings bought the sites in 2015 for $9.5 million. Both buildings span 12,722 square feet with six units across six stories, and both contain rooftop terraces and private garages.

David Amirian’s Amirian Group previously considered refinancing the existing mortgage on the property with traditional financing, and they had explored letting investors use cryptocurrency to invest in the project as well. However, the company ultimately concluded that a bulk sale would make for the cleanest exit.

“The prospect of instant liquidity, both for my investors now and for my next projects going forward, justified going the auction route,” Amirian said in a statement.

The suggested value for bidders looking to buy the entire property is between $27 million and $29 million, according to Paramount.

Bidders who want to take part in the auction have to place their bids and a $500,000 deposit by Jan. 29. If there are multiple offers, the highest potential buyers will take part in a runoff open outcry auction. They also need to obtain due diligence information from Paramount Realty USA and tour the property at a scheduled inspection.

Paramount Realty USA previously helped organize the auction for President Donald Trump’s childhood home in at 85-15 Wareham Place in Queens, which sold last year for $2.14 million. The buyer was reportedly a woman from China.