Textile Building to get $300M overhaul

New owners plan overhaul of historic property at 295 Fifth Avenue

New York /
Oct.October 28, 2019 03:30 PM
295 Fifth Avenue with Tribeca Associates principals Elliot Ingerman and Bill Brodsky (Credit: Google Maps, LinkedIn)

295 Fifth Avenue with Tribeca Associates principals Elliot Ingerman and Bill Brodsky (Credit: Google Maps, LinkedIn)

The partnership that picked up Midtown South’s historic Textile Building is spending nearly $300 million to reposition the property.

Tribeca Investment Group, PGIM Real Estate and Meadow Partners announced last week that they closed on the 99-year ground lease covering the 17-story building at 295 Fifth Avenue that has long been home to more than 150 textile showrooms.

The new owners said they plan to invest nearly $300 million to acquire and reposition the building. That works out to nearly $430 per square foot for the 700,0000-square-foot building.

“The thing we’re most excited about is the opportunity to buy a building with large floor plates,” Tribeca Investment Group co-founder Elliott Ingerman told The Real Deal.

Floor plates in the building are larger than 40,000 square feet. The new owners plan to invest in renovations including a new lobby, retail storefronts, mechanical upgrades and new amenity spaces.

Ingerman declined to comment on the value of payments over the life of the ground lease. Property records with the city put the figure at $375 million.

Tribeca Investment Group was founded by Ingerman and partner Bill Brodsky a few years ago after their partner at Tribeca Associates, Mark Gordon, launched his own vehicle to invest in hotel properties.

Ingerman and Brodsky teamed up with PGIM and Meadow Partners earlier this year to acquire the ground lease on the property from owner Manhattan Properties, as The Real Deal first reported.

A CBRE team led by Darcy Stacom and Bill Shanahan negotiated the deal for Manhattan Properties.

The new owners said in last week’s announcement that they plan to reposition the building as a Class A office tower, targeting finance and technology companies as tenants.


Related Articles

arrow_forward_ios
From left: Meadow Partners' Jeff Kaplan and Davean Holdings' Sean Lefkovits (Meadow Partners, Davean Holdings, Getty)
Meadow, Davean pick up 12 apartment properties for $77M
Meadow, Davean pick up 12 apartment properties for $77M
The Gregory Hotel in the Garment District (Google Maps, Illustration by The Real Deal with Getty)
Booze bandits: Restaurant claims Gregory Hotel owners stole liquor
Booze bandits: Restaurant claims Gregory Hotel owners stole liquor
Meadow Partners' Jeffrey Kaplan and 305 East 11th Street/310 East 12th Street (Meadow Partners, Getty, Google Maps)
Meadow Partners buys two East Village rental buildings
Meadow Partners buys two East Village rental buildings
From left: Meadow Partners' Jeff Kaplan and Northwind Group's Ran Eliasaf along with 175 West 95th Street (Meadow Partners, Northwind Group, Douglas Elliman, iStock)
Glacier and Meadow nab $45M condo inventory loan
Glacier and Meadow nab $45M condo inventory loan
Capstone Equities' Joshua Zamir and Renwick Hotel at 118 East 40th Street (TripAdvisor)
New owner Capstone revives Midtown’s Renwick Hotel
New owner Capstone revives Midtown’s Renwick Hotel
80-90 Maiden Lane and Meadow Partners managing partner Jeffrey Kaplan (80 Maiden Lane, Meadow Partners)
Meadow Partners scores $259M CMBS loan at 80-90 Maiden Lane
Meadow Partners scores $259M CMBS loan at 80-90 Maiden Lane
The Noble St. property and Davean Holdings’ David Lloyd and Sean Lefkovits (Davean, Google Maps)
Davean Holdings, Meadow Partners buy 12 properties in Manhattan and Brooklyn
Davean Holdings, Meadow Partners buy 12 properties in Manhattan and Brooklyn
218 West 18th Street and Columbia Property Trust’s Nelson Mills (Google Maps, Columbia Property)
Columbia Property unloads Chelsea office for $170M
Columbia Property unloads Chelsea office for $170M
arrow_forward_ios

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

Loading...