Diamond District building listed for $113M

Property at 576 Fifth Avenue last purchased in 1977

576 Fifth Avenue (Google Maps; iStock)
576 Fifth Avenue (Google Maps; iStock)

A 12-story building in New York’s Diamond District has hit the market for $113 million — a cut above its last sale price of $1.3 million.

Of course, that was in 1977, when the Yankees’ Reggie Jackson had the highest salary in baseball at $700,000. In retrospect, both deals seem like bargains (Jackson hit three consecutive home runs in the deciding game of the World Series).

The building at 576 Fifth Avenue is home to several prominent diamond dealers who use both retail space on the lower levels and office space above, according to Crain’s.

The listing hit the market at a difficult time: Commercial tenants across the city are struggling to pay rent, prompting numerous lawsuits, and many of the city’s workers have not returned to their offices.

Still, Paul Massey of B6 Real Estate Advisors, who is marketing the property, said he was optimistic the building would draw interest.

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“I think probably the perfect buyer is going to be someone with a very long-term view of New York City,” he told Crain’s. “To be able to buy a HQ building smack in the middle of 47th and Fifth, close to Grand Central, is a rare opportunity.”

The property is currently run by Severn Realty Partners, which has reportedly sold the leasehold several times over the years. Tenants include Peter J. Germano Jewelers and J. Birnbach International.

Whether they can stay after the sale will be up to the buyer.

[Crain’s] — Sylvia Varnham O’Regan