Thor’s Joe Sitt eyes $150M for Amazon warehouse in Brooklyn

Investor is looking to sell his new 312K-sf Red Hook warehouse

Thor Selling 280 Richards Street Amazon Warehouse
Joe Sitt and 280 Richards Street (Thor Equities, Pension Real Estate Assocation)

Joe Sitt is eyeing about $150 million for his Amazon-leased distribution center in Red Hook.

Sitt’s Thor Equities put the 312,000-square-foot warehouse at 280 Richards Street up for sale, according to marketing materials.

The warehouse benefits from having an “inevitably sticky tenant” in Amazon, which leases the property for another 13 years, according to an offering memo from Newmark, which is running the sales process.

A spokesperson for Thor declined to comment.

The company bought the development site in 2005 for about $40 million, and had originally planned to develop an 800,000-square-foot office complex dubbed “Red Hoek Point.” But as Brooklyn’s office market softened and demand for last-mile logistics heated up, Sitt pivoted to build a warehouse.

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In 2020 Thor pre-leased the space to Amazon, which has been operating out of it since the warehouse opened in 2022. The property has an assumable $73 million mortgage from Athene Annuity & Life Company that has a 3.85 percent interest rate through 2028, the marketing materials show.

Thor, long one of the city’s biggest retail investors, launched its ThorLogis warehouse business in 2019. The company recently acquired 1.6 million square feet of industrial space in Mexico, and a 250,000 square foot distribution facility in Laredo, Texas.

In Red Hook, Dov Hertz’s DH Property Holdings and Goldman Sachs Asset Management in 2012 sold their Amazon-leased warehouse at 640 Columbia Street in Red Hook to CBRE Investment Management for $330 million.

Earlier in the year, CBRE’s investment arm had purchased a pair of Amazon warehouses in East New York for $230 million.

Read more

Jeff Bezos of Amazon, Joe Sitt of Thor Equities and an aerial of the Red Hook site. (Getty, Thor, Google Maps)
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