HAP Investments has purchased a development site in Tribeca for $46 million, where it is planning to build a 40-unit condominium project, sources told The Real Deal.
The site is located at 65 Franklin Street, right by Broadway, and HAP purchased it from Miami-based Crescent Heights Realty, which was co-founded by Sonny Kahn, Russell Galbut and Bruce Menin. The property contains 64,430 buildable square feet, although this can increase to 77,000 with additional air rights. The price per square foot works out to about $714 for HAP.
Crescent purchased the site in 2013 for about $23 million, according to property records. The company did not immediately respond to a request for comment.
David Lloyd, Joe Koicim and Peter Von Der Ahe
Marcus & Millichap’s Joe Koicim, Peter Von Der Ahe and David Lloyd brokered both sides of the deal.
Although the project was previously addressed at 360 Broadway, the team decided to rebrand it as 65 Franklin Street. Koicim said some buyers seemed turned off by the Broadway address, and interest picked up once they changed it to Franklin Street.
“It was previously marketed years before, and we went out with a new look, new address and new rendering,” Koicim said, “and we were able to attract a lot more action even in a softening development market.”
The deal is HAP’s first acquisition in Tribeca, and the company secured $32 million in financing for it from G4 Capital Partners, according to HAP.
HAP, the Midtown East-based development firm led by Eran Polack, Amir Hasid and Nir Amsel, just locked in a $235 million construction loan for its two-building Chelsea rental project in October.