This Week's N.Y. Deal Sheet
The book is officially closed on 2017, and the year's final week did bring some commercial real estate activity, including a couple of major retail leases.
South Korean automaker Hyundai has signed a 40K SF lease for a showroom at the Solar Carve Tower under development in the Meatpacking District. Hyundai will use the space as a showroom for its luxury car line, Genesis, with an annual rent around $11M, according to The Real Deal. The showroom will occupy the base of the 12-story tower, being developed by a partnership of Aurora Capital Associates and William Gottlieb Real Estate. Aurora represented the joint venture, and Nassimi Group's Richard Nassimi and Michael Lohan represented Hyundai. Genesis' showroom will be steps from Tesla's just-opened space at 860 Washington St.
Wachtell, Lipton, Rosen & Katz has renewed the 250K SF lease at 51 West 52nd St., according to The Real Deal. Wachtell, Lipton, a legal adviser to CBS Corp., remains its client's tenant in the building the media giant owns and occupies 870K SF in. Savills Studley's Mitchell Steir and Howard Nottingham represented Wachtell, Lipton, and JLL's Frank Doyle and Barbara Winter represented CBS.
Burlington has agreed to open a 55K SF store in a Brooklyn shopping center, another sign of budget fashion's strength amid the sea change in retail. Formerly Burlington Coat Factory, the retailer will occupy 53K SF on Kings Plaza Shopping Center's fourth floor, along with elevator access on other floors, which count toward its square footage. Macerich owns the Mill Basin mall, and CNS Real Estate's Cliff Simon represented Burlington in the deal.
Architecture firm FXFowle has taken the leap across the East River. The Manhattan-based firm decided to sign a lease at One Willoughby Square, the Downtown Brooklyn office tower it designed for JEMB Realty. The 15-year lease encompasses 40K SF in the 36-story, on the seventh through ninth floors. Signature Partners' Andrew Weiss represented FXFowle, and JEMB was represented in-house, although JLL has been contracted to lease the rest of the under-construction tower, which is expected to deliver in 2021. The move follows Bjarke Ingels Group's relocation to DUMBO earlier in 2017.
CIM Group has added another piece to its growing New York City armada of real estate. The Los Angeles-based investment firm has closed on its acquisition of 1440 Broadway from New York REIT. The 25-story, 750K SF office tower in Times Square was 40% occupied when CIM put it under contract in November. The sale closed for $520M, including $360M in debt, originated by Deutsche Bank.
Forkosh Development Group has officially sold its new apartment building in Murray Hill, called the Theater House Apartments, for $110M. The buyer, the Gilardian family, put the building under contract in August, just five months after Forkosh wrapped up construction on the 23-story, 105-unit property. Safra National Bank loaned Gilardian $80M to fund the purchase.
A self-storage facility in Astoria has changed hands for $94M. Madison Development Group recently developed 31-07 20th Ave., a 174K SF facility that serves New Yorkers' needs for additional storage space. Saratoga Springs-based Prime Storage Group bought the property, part of a local buying spree for the upstate firm.
Sales data courtesy of Reonomy.
TOP FINANCING DEALS
The Carlyle Group has refinanced Regency Towers, its luxury apartment building on Second Avenue on the Upper East Side. The global private equity firm landed a $130M loan for the 34-story building at 245 East 63rd St. from Prudential Multifamily Mortgage.
The joint venture of Nelson Management Group and L+M Development Partners has refinanced an apartment building in Manhattan's Two Bridges neighborhood for $111.2M. The building at 275 South St. reaches 19 stories and holds 256 units, and L+M and Nelson will use the new cash infusion to undertake a property renovation.
Financing data courtesy of Reonomy.