This Week's N.Y. Deal Sheet
Coworking companies, now a fixture on the Manhattan office scene, were again the major players in leasing last week.
TOP LEASES
WeWork signed a lease for the entire building at 35 East 21st St., the coworking giant announced last week. The building was previously Tumblr’s headquarters, and the lease spans around 100K SF across 10 floors. The Centaur Properties-owned building will be dedicated to "HQ by WeWork," the company's offering aimed at midsize firms.
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Spaces signed up for 62K SF at 175 Pearl St., formerly part of the Jehovah’s Witness complex in DUMBO. The company will take part of the ground floor and the entire second and third floors at the Normandy Real Estate Partners-owned property starting early next year. CBRE’s Mark Ravesloot, Scott Sloves and Peter Danna represented Spaces. Neil King, Patrice Meagher, Paul Amrich, Jeff Fischer and Sacha Zarba, also of CBRE, represented Normandy.
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Signature Bank inked a deal for 91K SF at 1400 Broadway, the New York Post reports. The lease is for the sixth, seventh and 27th floors. Colliers International’s Michael Cohen, Andrew Roos and Howard Kaplowitz represented Signature Bank. Empire State Realty Trust’s Keith Cody represented the ownership in-house with Neil Rubin from Newmark Knight Frank. The deal means the lender will be moving from 29 West 38th St. and 1177 Sixth Ave.
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HNTB Corp. expanded at the Empire State Building by 29K SF, The Real Deal reports, and now has 105K SF there. Sven Sykes of Colliers represented HNTB. ESRT’s Ryan Kass and Shanae Ursini, along with JLL’s Paul Glickman, Jonathan Fanuzzi and Harley Dalton, represented Empire State Realty Trust.
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ExodusPoint Capital, a hedge fund startup, is expanding to 36K SF at EQ Office’s Park Avenue Tower at 65 East 55th St., the landlord announced last week. The expansion was for 18K SF, double ExodusPoint's footprint, and spans the entirety of the 10th floor.
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Knotel, a flexible workspace provider, announced it signed four leases spanning a total of 32K SF. The largest deal was at Winter Properties’ 26 West 17th St., for 10K SF on the sixth floor. The company also signed for an extra 9K SF at AR Global’s 200 West 41st St., which is in addition to the 26K SF it already has in the building. Knotel also added 9K SF at Square West’s 5-9 Union Square West, where it now has 32K SF, and 5K SF at Moinian Group’s 90 John St.
TOP SALES
The city of New York sold its building at 101 Barclay St. to Bank of New York Mellon for $352M, The Real Deal reports. The company already owned the ground lease there, having paid $164.4M for it in 2013. It has occupied the building for three decades.
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GAIA Real Estate bought 90 condominiums from an affiliate of the Brodsky Organization at Bridge Tower Place at 401 East 60th St. for $52.5M, GAIA announced last week. The condos are in a 38-story building. The purchase is part of GAIA’s plan to buy unsold units in bulk, according to a release.
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H.I.S. Hospitality paid $44M for the Wingate Midtown Manhattan at 235 West 35th St. The seller was investor Li Hui Lo, The Real Deal reports. The hotel is 17 stories and has 92 rooms. H.I.S. built the first robot hotel in Nagasaki, Japan.
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The Hakimian Organization is paying $33M for a development site in Woodside. The company is joining with Gorjian NY, Imagine Capital Group and CH Capital Group to buy the site at 72-01/72-17 Queens Blvd. and 72-30 45th Ave., The Real Deal reports. Piermont Properties is the seller, and the site has around 300K buildable SF.
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Sedesco, a Turkish developer, paid $80M to Asuman Polat for 41 West 57th St., The Real Deal reports. Sedesco is putting together an assemblage on the strip, having paid $71.5M for an adjacent property six years ago.
TOP FINANCING DEALS
Pacific Eagle Holdings scored $119M from Mizuho Bank, The Real Deal reports, for its hotel at 400 Fifth Ave. The loan replaces a $125M mortgage provided by United Overseas Bank.
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Bank OZK provided $71M to Soundview Real Estate Partners and Chartwell Hospitality, which is a venture of McSam Hotel Group, for the development of two hotels in Queens, Commercial Real Estate Direct reports. The group is planning a Marriott and a Residence Inn hotel at 144-02 135th Ave., which would collectively feature 542 rooms.
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Eyal Ofer, an Israeli real estate and shipping magnate, provided $52.5M to The Rockefeller Group and Mitsubishi Estate Co. for their planned condo tower at 30 East 29th St., The Real Deal reports. The financing is a preferred equity investment.
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Citibank loaned $110M to Ronald Perelman’s MacAndrews & Forbes for the refinancing of a nine-story rental at 27 East 62nd St. The new financing replaces a $74M loan from 2016 and features $41M in new financing, The Real Deal reports.
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Fortis Property Group locked down $66M in mezzanine financing from Mack Real Estate for the condo tower at 1 Seaport. The financing will be used for the partial recapitalization of the building, according to a release from Newmark Knight Frank, which arranged the financing. Dustin Stolly and Jordan Roeschlaub, NKF Capital Markets co-chairmen, brokered the deal, along with Mack’s Kevin Cullinan and Jared Horowitz.
