Bank of the Ozarks and Ladder Capital lent $45.5 million in funds for a seasoned New York City investor to buy a three-lot land assemblage in the Rockefeller Center area for $47 million, Mortgage Observer has learned. The buyer, HID Acquisition Group LLC, a subsidiary of Hidrock Realty, closed on the parcels last month and plans to build a residential condominium, Hidrock’s CEO said.
Bank of the Ozarks provided $26 million in a senior mortgage, while Ladder Capital lent $19.5 million in mezzanine funds, a source told MO.
Tarte Cosmetics will be moving its New York headquarters
Growing out its office at 224 West 35th Street, Tarte Cosmetics has signed a 15,439-square-foot space on the eighth floor of Savanna’s 1375 Broadway.
Robert Kaplan of Hidrock Realty represented Tarte Cosmetics in the transaction. Savanna was represented by a brokerage team from Colliers International comprised of Eric Meyer, Martin Meyer, and Michael Thomas.
Cooper Read More
Shortly after launching his eponymously named real estate business, Jack Terzi was approached by Apogee, a thrift store chain that operated 18 branches in Minnesota and Maryland, about opening in New York and New Jersey, which, compared with the chain’s traditional markets, were a “totally different animal.”
To facilitate the process, JTRE conducted traffic reports and demographic studies to identify the right markets to pinpoint across the region.
“We explained to them, go to Fulton Street in Brooklyn and pay the big rent,” said Mr. Terzi, chief executive officer of Jack Terzi Real Estate. “Pay over $1 million in rent, because you’re going to make three times as much as you did outside [New York].”
Food & Drink
Every day, Jack Hidary walks the same Garment District streets that his grandfather, an apparel businessman, walked in the 1940s. “We probably go to the same shoeshine guy,” he said.
Mr. Hidary, the founder and CEO of Hidrock Realty, works out of a building on West 36th Street, and the family bonds are far more palpable than the Hidarys’ garmento history in the Midtown neighborhood. Jack works alongside his sons Abraham, Eddie and Steven at the 31-year-old company.
Nightlife hotshots Ric Addison and Stephen Daly have inked a 10-year deal for 5,000 square feet on the 18th floor of 71 West 35th Street, where the duo will open Monarch rooftop lounge atop a new Courtyard by Marriott hotel next month.
Steven Hidary and Robert Kaplan of Hidrock Realty, which owns the property, represented tenant and ownership in the transaction. Asking rent was about $600,000 annually.
On the Market
New York City. Land of opportunity. Safe haven for foreign investors. And home of the multi-million dollar parking garage — thanks to the highest parking rates in the country.
The latest parking lot to sell this month was scooped up by Imperial Parking Systems Inc. at 304 West 49th Street for $14 million, city records show.
The sale highlights the continued viability and high profitability of running and operating parking garages in the city, which the latest data shows is still the most expensive place to park.
A parking rate survey by Colliers International for 2012 comparing parking rates in locations throughout the United States shows New York City still has the highest rates by far after taking the crown during the previous year.
Hidrock Realty is selling an office building at 240 West 35th Street and expects to pull in upwards of $75 million for the 162,044-square-foot property with the help of a team at Jones Lang LaSalle, The Commercial Observer has learned.
City records show that Hidrock paid $58 million for the property in 2008, a 200 foot, 18-story building constructed in 1925. The firm infused $6 million into a capital improvement program that included renovations to the lobby, new elevators and updated HVAC systems. An affiliate of Meritage Properties reportedly provided $14 million in joint venture equity at the time of the purchase.
Hidrock Realty has purchased a parking garage at 59-61 West 36th Street, between Fifth and Sixth Avenues, for $28.5 million, city records show.
The lot is 8,690 square feet, and the garage is 17,380 square feet, but current zoning allows for 86,900 square feet of usable space, according to information provided by PropertyShark.
Earlier this quarter, Hidrock Realty made news when it was revealed that the company had acquired a development lot on Greenwich Street near the World Trade Center site for $27.9 million and planned to build a 300-key hotel there. What few real estate analysts may have noticed, however, was that the deal was just the latest in a series of increasingly ambitious hotel projects for the New York City-based development and management company. Last week, brothers Abraham, Eddie and Steven Hidary—president and vice-presidents, respectively—spoke to The Commercial Observer about the hotel market, Lower Manhattan and sibling rivalries.
A development site in Lower Manhattan that investor Sam Zell tried to purchase two years ago has be acquired by Hidrock Realty for $27.9 million, The Commercial Observer has learned.
The vacant parcel, located at 133 Greenwich Street, can accommodate up to about 135,000 square feet of hotel or commercial development. According to sources, residential space can also be built but the density of the development must be reduced for that type of project according to the zoning at the site.
The real estate group that recently bought a Herald Square office building for a bargain-basement discount has decided to turn it into a hotel.
Hidrock Realty, which bought the old Atlantic Bank building at 960 Avenue of the Americas for just $40 million—$65 million less than its former owner paid for it just three years Read More