Sam Chang buys Midtown mental health facility for $51M

Developer to either build hotel or rentals after property becomes vacant

334 West 36th Street (Inset: Sam Chang)
334 West 36th Street (Inset: Sam Chang)

Hotel developer Sam Chang of Great Neck, N.Y.-based McSam Hotel Group has added yet another Midtown West property to his portfolio with the purchase of the six-story Postgraduate Center for Mental Health for $50.8 million.

The 58,644-square-foot building at 334 West 36th Street, between Eighth and Ninth avenues, is entirely occupied by the facility. The Postgraduate Center for Mental Health is slated to exit the premises next year, Chang told the New York Observer.

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Chang said he has not decided whether to construct a hotel or a rental building on the site. The deal closed on Aug. 6, and showed up in city property records earlier today. The building was constructed in 1906, records show.

The developer also recently borrowed nearly $42 million in loans for his 35-story Holiday Inn project at 585-587 Eighth Avenue Near 39th Street in Midtown West, as The Real Deal reported. [NYO]Mark Maurer