Trending

Euro Properties might sell troubled 118 East 59th condo project: sources

Firm just brought in new marketing team for its first US project, but is also quietly seeking buyer

From left: rendering of 118 East 59th Street in and Neo Que Yau
From left: rendering of 118 East 59th Street in and Neo Que Yau

UPDATED: May 24, 11:45 a.m.: Asian investment firm Euro Properties made waves in 2014 when it announced its intention to become the first Chinese developer to build a ground-up Manhattan condominium. But its vision for the 29-unit “bespoke” tower at 118 East 59th Street haven’t gone as planned — the company is already shifting its marketing strategy to compete with nearby condo developments, and multiple sources told The Real Deal that Euro Properties might even sell the site altogether.

Several sources with knowledge of Euro Properties’ thinking said the firm is weighing two options: make further progress on the construction of the 40-story building before relaunching sales, or cut bait.

Sources told TRD that the firm, led by CEO Neo Que Yau, has been quietly seeking a buyer for the property and is targeting a sale price just shy of $100 million.

Euro Properties, which paid $55 million for the property and air rights, could not be reached for comment. The developer has also racked up a slew of construction violations at the site, which late last week was padlocked. It’s unclear if construction is active.

In January, Brown Harris Stevens Development Marketing resigned from the project, a spokesperson for the firm said.

Sign Up for the undefined Newsletter

The Hong Kong-based company severed ties with Great Ink Communications in the spring and tapped Nest Seekers International’s Regis Roumila, Silvette Julian and Ryan Serhant as the building’s marketing agent.

Reached on Friday, Serhant confirmed to TRD that he signed on about a month ago to re-launch sales at the project, which is now dubbed Park Fifty Nine, according to a teaser website. But the co-star of Bravo TV’s “Million Dollar Listing: New York” declined to say when that would be.

Euro Properties had been eyeing a total sellout of $210 million, but the latest filings with the state Attorney General’s Office indicate the target has moved to $264 million. Sales originally kicked off at 118 East 59th Street in November 2015, but it’s unclear if any units sold.

In an interview with Bloomberg last year, Neo said he was still bullish on the New York market, even as global markets were slumping. “There’s a lot of room for the New York market to grow,” he said. “Turmoil in the Chinese economy will result in more flight to safety.”

The story was updated to include a response from Brown Harris Stevens. 

Recommended For You