Triple Star Realty sells huge Flushing dev site for $115M

Zhu’s firm bought Assi Plaza's former home in 2015 for $78M

Andy Zhu and a rendering of 131-01 39th Avenue
Andy Zhu and a rendering of 131-01 39th Avenue

Queens developer Andy Zhu sold one of Flushing’s largest mixed-use development sites for $115 million.

Zhu’s Triple Star Realty sold the former home of Korean supermarket Assi Plaza, located at 131-01 39th Avenue, to real estate investor Yuk Ming Yip, sources told The Real Deal.

The site, which sits along Flushing Creek near the massive Sky View Parc complex, holds nearly 632,000 square feet of development rights. That brings the deal to a pricing of roughly $182 per buildable square foot.

Little is known about the buyer, Yip. The contract of sale in property records ties him to the textile company Union Apparel Group, which is headquartered in the Garment District.

A representative for Union Apparel confirmed the purchase, but said Yip was in China and wasn’t immediately available to comment. Sources said Zhu earlier this year was looking to bring in a joint-venture partner in an off-market deal that would have valued the property at $110 million.

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A representative for Triple Star Realty did not respond to a request for comment.

Zhu acquired the site in 2015 for $78 million and financed the deal with a $42 million acquisition loan from RWN Management. Earlier this year in June, Zhu modified the terms of the loan and brought in an additional $4.7 million in interim financing. The site previously sold for $55 million in 2014.

Zhu had originally filed plans to build a mixed-use development with 360 residential condos, a 200-room hotel, medical office space, parking and a retail component that would include a supermarket.

The property sits next to a 3.7-acre site that developer Chris Xu bought last year for $100 million, or about $115 per square foot.

The owners of Sky View Parc are planning to sell out the complex’s remaining condominium units by year’s end, a decade after the first apartments hit the market.

Mark Maurer contributed reporting.