The 72,000-square-foot office building is located on the corner of Fifth Avenue and 47^th Street. Its roster of current tenants sparkles with the likes of Diva Diamonds, Carats by Stacey and Optimum Diamonds.

According to sources, up until last week the previous owner of the leasehold was Western Management, which couldn’t be reached for comment. That previous owner consented to relinquishing the building to Savanna.

576 Fifth Avenue.

“Savanna was able to complete this complex, multi-step acquisition by bringing together the former leasehold owner, the fee owner and the lender in a fully cooperative transaction,” Savanna senior associate Tom Farrell said in a prepared statement. “We continue to source opportunities to make compelling investments in strategic real estate assets that have been impacted by the financial crisis.”

The goal is to apparently turn 576 Fifth Avenue into a ritzier destination for office tenants by offering what Todd Korren, principal and director of leasing at Savanna called “beautiful, high quality office suites.”

On tap will be modernized and upgraded elevators, a new roof, restoration of the building’s façade and systems upgrades, in addition to other improvements. A team from Cushman & Wakefield will manage the property, while Savanna will lease it up in-house.

CGaines@observer.com