Chelsea site with 145K square feet of development rights pitched to hoteliers
An HFF team is marketing a 7,583-square-foot development site in Chelsea that’s aimed at hotel developers, according to marketing materials provided to The Real Deal. The plot, a parking lot located at 140-144 West 28th Street, includes 144,876 square feet of development rights.
The area, located between Sixth and Seventh avenues, is zoned for commercial use.
“But [it] is optimally located for hotel development given the site’s central Manhattan location,” according to the HFF materials.
Andrew Scandalios is leading the HFF team.
“There are some investors thinking about the site for residential and [it’s] significantly more valuable as residential, but the highest and best use is as a hotel since it’s zoned for commercial use,” Scandalios told the New York Observer, which first reported the news.
Though residential use could earn up to $600 per square foot and hotel use could bring $330 per square foot, rezoning would be a lengthy process.
“We’re marketing it as commercial only,” Scandalios told the Observer.
Offers are currently being evaluated. If deal isn’t reached within a month, a bid deadline will be set in July. [NYO] —Zachary Kussin