Wharton Properties has obtained a construction loan from Natixis Real Estate Capital to develop a 33,000 square foot retail property along 125th Street, Harlem’s busiest commercial thoroughfare, Mortgage Observer has first learned.
A person with knowledge of the loan confirmed the amount as $95 million and added that it was a three-year, interest-only loan with two 12-month extension options. The interest rate, that person said, is roughly 300 to 399 basis points over one-month Libor. The loan closed on July 11.
SL Green Realty Corp. has agreed to sell three of its Manhattan assets, the real estate investment trust announced today. The deals, for 2 Herald Square, 180 Broadway and 985-987 Third Avenue, will generate net cash proceeds of $240 million, according to a press release.
The REIT will sell the leased fee interest in 2 Herald Square for $365 million. SL Green acquired the interest in joint partnership in 2007 before consolidating its position in 2010, the landlord said.
A joint venture led by Jeff Sutton’s Wharton Properties has nabbed a three-building site at 530 Broadway from Joseph Sitt‘s Thor Equities for $326 million. The sale closed on March 6 and appeared in public records today.
The retail mogul bought the 11-story property to extend his dominance in Soho. It hit the market in February 2013 and Mr. Sitt agreed to sell it to the new owners that September.
Pace University has bought Lower Manhattan property it leased for a dormitory for just under $42.1 million, according to property records.
Building owner SL Green Realty and retail investor Jeff Sutton developed the dorm for Pace at 180 Broadway.
On June 17, 2013, the head of SL Green’s in-house legal team, Neil Kessner, hopped on the subway with the firm’s president, Andrew Mathias, and headed to 1 Saint Andrews Place to meet retail bigwig Jeff Sutton for a meeting with the U.S. Attorney’s Office’s head of forfeiture, Sharon Cohen Levin.
The SL Green/Sutton team had won an RFP issued in October 2012 to purchase the 49-year leasehold interest on the roughly 32,000-square-foot retail condo at 650 Fifth Avenue, signing a letter of intent for the leasehold on January 2013.
Jeff Sutton is the buyer of SL Green‘s 33.3 percent stake in the retail co-op at 747 Madison Avenue, according to a New York Post report. The deal makes Mr. Sutton the sole owner of the space.
SL Green announced earlier this week it had agreed to sell its stake in the co-op in deal valuing the space at $160 million. In conjunction with the sale, the real estate investment trust agreed to make a $30 million preferred equity investment in the property.
The court-appointed federal monitor and interim trustee of the controversial commercial tower at 650 Fifth Avenue has negotiated a deal for the retail space at the building.
SL Green Realty has partnered with Jeff Sutton to acquire a 49-year leasehold interest in the retail portion of the Midtown property which has previously been linked to the Iranian government.
The first of at least two major dormitories in the pipeline at Pace University is open just in time for the beginning of the school year.
DNAinfo reported that 600 Pace University students have a new home in Lower Manhattan after the university’s 24-story dormitory at 180 Broadway opened this past weekend.
The Read More
Brokers who brought big name chain retailers to a pair of Jeff Sutton properties won big last night at the Real Estate Board of New York‘s Retail Deal of the Year Awards at 101 Park Avenue.
David LaPierre of CBRE nabbed the prize for “most ingenious and creative retail deal that demonstrates exceptional broker acumen” for a transaction that brought Express to 1552-1560 Broadway. Jacqueline Klinger and Chase Welles of SCG Retail‘s success in landing Whole Foods in Harlem (at 100 West 125th Street) were deemed the brokers behind “the retail deal which is most significant in its overall characteristics and importance to the New York City Retail Market”
TGI Friday’s will be relocating its Times Square restaurant.
The popular chain restaurant will be moving to a 10,872-square-foot space at 147-149 West 46th Street from its current outpost less than a block away on the corner of Broadway and 46th Street, officials said.
“Their previous location at 1552 Broadway was sold and they were Read More
Food & Drink
It’s been a busy month for Urban Outfitters. The trendy apparel retailer is said to have inked a deal for 21,000 square feet at 180 Broadway in the Financial District.
Jeff Sutton, who with SL Green Realty Corp. and Harel Insurance owns the building, represented the landlords. Stephen Plourde and Wade McDevitt of the McDevitt Co. represented the tenant, reported the New York Post‘s Lois Weiss. Since its inception 42 years ago in Philadelphia, Urban Outfitters has grown to over 400 American locations.
The owner of an upcoming Harlem burger joint must be hoping that a current YouTube meme has long legs. Jelena Pasic settled on the name Harlem Shake for her restaurant six months ago, well before a series of amateur videos riffing on Brooklyn d.j. Bauer‘s song of the same name went viral, quickly racking up hundreds of millions of views.
The New York Post‘s Steve Cuozzo writes today that the happy coincidence has prompted a big spike in neighborhood interest in the humble eatery, with proprietors telling him they “never [had] in the back of our minds this whole phenomenon.” Ms. Pasic hopes that the enthusiasm lingers when Harlem Shake and its proposed 65-seat sidewalk cafe open in a few months on the corner of Lenox Avenue and 124th Street.
Fashion retailer Alexander McQueen has signed a 15-year lease for retail space at 747 Madison Avenue totaling approximately 3,400 square feet, it was announced yesterday. The tenant is expected to move into the space during the third quarter, according to a statement from SL Green, part-owner of the retail co-op.
A joint venture, which also includes Jeff Sutton and Harel Insurance Company in addition to SL Green, acquired the retail interest in September 2011. A second-floor residential co-op unit was subsequently acquired for redevelopment and ceiling height expansion.
American Eagle will be expanding in Harlem.
The preppy teen retailer has signed a deal for an 8,500-square-foot lease at 100 West 125th Street, the brand’s most northern location in the city. American Eagle will join Burlington Coat Factory and Whole Foods in the soon-to-be-built development on the corner of Malcolm X Boulevard and 125th Read More
Some city landlords are kicking and screaming back after an article published in The Commercial Observer yesterday morning cited sources who allege that a new wave of city landlords are leapfrogging brokers to get at retail tenants directly—but many continue to claim that the landlords do just that.
Wharton Properties’ Jeff Sutton, who sources name among several landlords, sought to set the record straight yesterday, claiming that “95 percent of the deals I do have brokers” and calling the implication that he does otherwise “disgusting.”
“Some deals where I’ve had relationships [with] tenants for many years, who don’t have brokers, I do myself, but how could you put me in that category,” he said. “I’ve never ever gone around anybody.”