The Collective acquires Paper Factory Hotel in Queens

It's the British co-living company's third New York acquisition

New York /
Mar.March 19, 2019 08:00 AM

Reza Merchant and the Paper Factory Hotel

London-based co-living company the Collective has purchased the 125-key Paper Factory Hotel in Long Island City, the company announced Monday.

The plan is to convert the hotel at 37-06 36th Street into a “short-stay” co-living arrangement, for stays between one and 29 days, according to company spokesperson Samantha Garfield.

The Collective declined to provide a sales price, but a press release stated that the sale brought the company’s total New York property investments to $150 million, strongly suggesting the Paper Factory Hotel would have sold for around $60 million.

All guests will have “full access to the co-living experience,” Garfield said, which includes social and cultural events and flexible communal spaces. The company eventually plans to add an extra 100 units for more conventional co-living by building additional floors on top of the five-story property.

Queens builder Gal Sela developed the hotel at the site of a former paper factory just four years ago. A representative for Sela’s namesake firm was not immediately available to comment.

The Collective, founded by now 30-year-old Reza Merchant in 2010 while he was still a student, made its first splash in New York last fall when it announced it would build a 500-unit co-living building at 555 Broadway in East Williamsburg. Last month, it acquired the Slave Theatre at 1215 Fulton Street, where it also has plans to develop co-living apartments. It paid $32.5 million for the historic theater.

The company’s 546-unit Old Oak Common in London, a project developed in 2014, remains one of the largest co-living communities in the world. Last year the company bought out its partner in the building in a deal that valued the property at approximately $165 million.


Related Articles

arrow_forward_ios
Lenox Grand 13505 Burnet Road, Austin, Texas (OHT Partners)
A 16-acre multifamily development headed to North Austin
A 16-acre multifamily development headed to North Austin
Ben Hakimian, founder, Hakimian Organization; 244 West 49th Street (Google Maps, KSU)
Hakimian changes Midtown hotel plans to residential
Hakimian changes Midtown hotel plans to residential
Micron President and CEO Sanjay Mehrotra with Lockhart, Texas (Facebook, Wikipedia)
Intel nah, Micron maybe: Texas could get another multibillion-dollar semiconductor plant
Intel nah, Micron maybe: Texas could get another multibillion-dollar semiconductor plant
80-08 and 81-10 135th Street in Briarwood Queens (Google Maps)
Black Spruce picks up Queens multifamily portfolio
Black Spruce picks up Queens multifamily portfolio
Brian Kingston, managing partner & CEO, Brookfield's Real Estate Group and Brookfield Property Partners, in front of Two Blue Slip in Greenpoint (Brookfield Property Partners, Two Blue Slip, iStock)
Brookfield scores $330M refi at Greenpoint Landing
Brookfield scores $330M refi at Greenpoint Landing
Keller Williams' Lauren Balbuena and Compass CEO Robert Reffkin (Keller Williams, Getty/Illustration by The Real Deal)
Keller Williams NYC’s agent count bounced back while Compass’ growth slowed
Keller Williams NYC’s agent count bounced back while Compass’ growth slowed
Office subleases abound in North Dallas suburbs
Office subleases abound in North Dallas suburbs
Office subleases abound in North Dallas suburbs
Discovery at West Road on 9404 West Road, Houston and Haven at Eldridge on 13115 Whittington Drive and McCann Realty Partners Matt Akin (Pegasus Residential, McCann Realty Partners)
McCann Realty Partners swings two Texas multifamily deals
McCann Realty Partners swings two Texas multifamily deals
arrow_forward_ios

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

Loading...