Extell scoops up home of Carnegie Deli

Gary Barnett's firm is set to close on 854 Seventh

Carnegie Deli and Gary Barnett
Carnegie Deli and Gary Barnett

Gary Barnett is gobbling up another piece of Midtown: the former Carnegie Deli building at 854 Seventh Avenue.

Extell Development [TRDataCustom] — which already owns two sites on the block and paid $9.1 million for the deli’s air rights in 2015 — is set to close on the six-story property as early as this week, the New York Post reported. It’s unclear what Barnett will pay for the property.

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Extell is planning a 60-story hotel and condominium at 1710 Broadway, in partnership with Meir Cohen’s C&K Properties. Extell also owns 842-846 Seventh.

It’s unclear what Barnett has planned for the deli building, owned by Marian Harper Levine, but sources speculated to the Post that he bought it to prevent another developer from building a tower that would block 1710 Broadway‘s views.

Carnegie Deli, legendary for its giant pastrami and corned beef sandwiches, closed for good at the end of 2016. The deli’s yellow sign was taken down on Monday[NYP] — E.B. Solomont