CIM and Sapir seek $1.5 billion for 11 Madison Park
The 2.3 million-square-foot office tower at 11 Madison Park has hit the market with a sales price of $1.5 billion, the Wall Street Journal reported last month. To market the property, owners CIM Group and the Sapir Organization have tapped a CBRE Group team led by the firm’s vice chairwoman, Darcy Stacom. Sapir bought the building in 2003 for $675 million; CIM Group purchased a 49 percent stake in the property for $469 million in 2010. The building is about 80 percent occupied by Credit Suisse, which pays a below-market rent of $19 per square foot. That lease expires in 2017. The sale “will produce a very strong cash-on-cash return,” Stacom told the Journal.
Morgan Stanley seeks $350 million for Marriott East Side
Marriott East Side
Morgan Stanley’s Prime Property Fund put its New York Marriott East Side on the block last month for $350 million. The fund hired Eastdil Secured to market the 646-room hotel, at 525 Lexington Avenue and 49th Street, the Journal reported. Morgan Stanley acquired the hotel in late 2005 for $287 million and spent an additional $26 million on renovations. The debt-free property has a net operating income of $10 to $11 million, which is about half of what it took in during the boom, the Journal said. The hotel has a longterm management agreement with Marriott, but Prime Property has secured approvals to convert the 16th-floor concierge lounge into 10 additional suites.
LES retail building on the market
126-130 Delancey Street
A three-story retail property at 126-130 Delancey Street is on the market with an asking price of $22.75 million. The building, which has approximately 22,875 square feet above grade, is located on the northwest corner of Delancey and Norfolk streets. The property’s retail spaces are fully occupied by three tenants: Payless Shoe Source, which has 3,300 square feet on the ground floor; the Children’s Place, which has 3,700 square feet on the ground floor and 2,500 square feet on the lower level; and the Comprehensive Center for Rehabilitation, which has 3,000 square feet on the lower level and 15,875 square feet on the entire second and third floors. Michael DeCheser of Massey Knakal is handling the sale.
Tribeca retail space hits the market
A Tribeca retail condo that houses upscale Japanese restaurant Megu hit the market last month with an asking price of $17 million. The 12,000-square-foot space, located at 62–66 Thomas Street between Church Street and West Broadway, was listed for sale after the owner, Zar Property, received a number of unsolicited offers. “We have received so many credible offers to purchase the property that a sale is a possibility now, if our pricing is met,” Zar principal Dario Zar said. Megu recently recommitted to the retail space for another nine years, according to Eastern Consolidated’s David Schechtman, who is marketing the space with colleagues Lipa Lieberman and Adelaide Polsinelli.
Inwood apartment building for sale
4720 Broadway
A six-story apartment building at 4720 Broadway that has been approved for a condo conversion is for sale with an asking price of $12.5 million. The 56,852-square-foot elevator property, located at the corner of Arden Street overlooking Fort Tryon Park, has 48 apartments, one retail space and an office unit. The residential units consist of 42 rent-stabilized apartments, one rent-controlled apartment and five vacant apartments, which can be converted to free-market status. “This offering is unique in that you have a tremendous amount of rental upside, in addition to a well-advanced condo conversion play,” Victor Sozio, vice president of Ariel Property Advisors, which is marketing the building, said in a news release. “A no-action condominium offering plan was approved in May.”