A&E to sell four-building portfolio for $60M
Buyers Sugar Hill and Abro will divvy up the Upper Manhattan and Queens assets
A group of investors led by Sugar Hill Capital Partners and Abro Management is in contract to buy a four-building portfolio from A&E Real Estate Holdings for $60 million, sources told The Real Deal.
The 230-unit rent-stabilized package includes two buildings in Upper Manhattan and two in Queens. A&E bought them in two separate deals in 2012 and 2013 for a combined $30.7 million, about half the price for which they are now selling.
David Schwartz and Alex Friedman’s Sugar Hill, Richard Scharf’s Abro and partners are planning to split up the assets so that each individual party will have full control of a particular asset, sources said.
The deal is expected to close by May for about $260,000 per unit.
The Dermot Company had sold 115 East 116th Street in East Harlem and 4848 Broadway in Inwood to A&E in 2012. Then, in 2013, Ares Management, formerly AREA Property Partners, sold 188-30/188-34 87th Drive in Hollis and 39-11 – 39-15 62nd Street in Woodside, records show.
Douglas Eisenberg and John Arrillaga Jr.’s A&E, which owns more than 10,000 rental apartments in the city, specializes in long-term multifamily holds. Sources close to A&E said that the firm will sometimes opt to sell non-core assets located in gentrifying neighborhoods in a shorter timeframe.
Rosewood Realty Group’s Aaron Jungreis is brokering the deal. Representatives for A&E and Rosewood declined to comment, and Sugar Hill and Abro could not be reached.
In October, Sugar Hill closed on the $84 million purchase of a distressed senior assisted-living facility in Park Slope after being in contract for almost three years. That same month, Abro picked up a seven-story East Village rental building for $28 million.