Sales Beat

Boerum Hill Atlantic Avenue Site Sells for Record Price

472-484 Atlantic Avenue.

A site in the Boerum Hill section of Brooklyn has sold for a bit over $18 million, or $373 per buildable square foot, Commercial Observer has learned. It represents “the highest price per buildable square foot ever paid for a large development site of this size in Brooklyn,” said Stephen P. Palmese of Massey Knakal Realty Services. He exclusively handled the transaction.

The one-story building, at 472-484 Atlantic Avenue at the corner of Nevins Street, contains 16,100 square feet, with 150 feet of frontage on Atlantic Avenue, 40 feet of frontage along Nevins Street and 70 feet of frontage along Pacific Street. The site is home to a vacant laundromat, Atlantis Super Wash Center. Read More

Sales Beat

Cumberland Farms Offloads Brooklyn Gas Station Site for $3.1M

157 Empire Boulevard. (Massey Knakal)

Massachusetts-based convenience store chain Cumberland Farms has sold the site of its Gulf gas station at 157 Empire Boulevard to Life Storage for $3.1 million, according to property records.

The property, on the border of Crown Heights and Prospect Lefferts Gardens, is zoned for up to 32,000 square feet of buildable space and is expected to be redeveloped. Illinois-based Life Storage is a developer and operator of storage facilities. Read More

Sales Beat

Hudson Square Warehouse Sells for $52M Cash

537 Greenwich Street

537 Greenwich Owner LLC snapped up a six story, 57,500-square-foot warehouse in Manhattan’s Hudson’s Square neighborhood for $52 million in an all cash transaction filed Tuesday, according to city property records.

The warehouse at 537-545 Greenwich Street currently houses industrial tenants and an art showroom, but the property offers 100,000 square feet of buildable space under new zoning rules, according to a press release from Massey Knakal Realty Services, whose broker Robert Burton represented the building’s former owner, Stuart Minton, in the transaction. Read More

Mortgage Observer

CIT Finances Former J&R Music World Transformation

Former J&R store at 34 Park Row

A classic city block is getting ready for a big change. CIT Real Estate Finance provided a $25 million land loan on two non-contiguous retail buildings at 23 and 31 Park Row in Lower Manhattan, sources familiar with the transaction told Mortgage Observer exclusively. The buildings are both former J&R Music and Computer World stores.

The three-year financing was provided to a joint venture between J&R co-founder Rachelle Friedman and the prolific multifamily developer L+M Development Partners. L+M, co-founded by Ron Moelis, acquired its stake in the two buildings for $36.2 million on April 10, the same day that the loan from CIT closed, public records show. Massey Knakal Realty Services brokered the financing. Read More

Lease Beat

J. Crew Paying $90 PSQ Plus $3.5M in Improvements for W’burg Store

234-236 Wythe Avenue.

Global apparel chain J. Crew has signed a 6,000-square-foot lease in Williamsburg at $90 per square foot and has agreed to pay millions of dollars in significant improvements to the property, a source with knowledge of the deal told Commercial Observer.

The New York-based chain is bowing in a single-story warehouse building at 234-236 Wythe Avenue, near North 4th Street. There is speculation that the retailer will build a multi-level store as it did in Cobble Hill. Read More

UWS Loehmann’s Getting Primo Attention

Loehmann's

Madison Capital, which acquired all of the real estate assets of bankrupt department store Loehmann’s, is primarily focused on the discounted designer goods retailer’s Upper West Side store, company founder Richard Wagman said. Mr. Wagman talked about Loehmann’s while on a retail panel at Massey Knakal Realty Services‘ Commercial Real Estate Investment Summit yesterday. Read More

Mortgage Observer

Multifamily Financing in Manhattan Faces Rising Hurdles

(Illustration by Thomas Pitilli)

While Manhattan is clearly one of the most desirable places on the planet to live—and much ink has been spilled over rising rental prices therein—there is another side to the coin. The sky-high land values that come along with rising rents are now keeping a firm lid on multifamily development in Gotham.

Despite the enormous demand from renters, lenders are far more interested in financing luxury condominiums, hotels and office and retail development in Manhattan, sources told Mortgage Observer. And while developers and bankers cite myriad economic and practical reasons for the hampered development pipeline for multifamily projects, the ever-loftier land costs are the bedrock issue. Read More

Trading CRE

ETRE Financial Files for IPO

Nasdaq

On Monday, ETRE Financial filed with the U.S. Securities and Exchange Commission for an initial public offering of ETRE REIT (proposed ticker is ECAV) on the NASDAQ exchange. Operating as a limited liability corporation, ETRE REIT would allow public investment in individual commercial real estate properties with the properties held as separate real estate investment trusts. Read More

Sales Beat

HAP Investments in Contract for East Harlem Site

247 East 117th Street Site. (Courtesy of PropertyShark)

HAP Investments is in contract to acquire 247-249 East 117th Street in East Harlem from PGC New York 1 LLC, The Commercial Observer has learned. The acquisition price is $3.2 million, according to a source familiar with the transaction.

“We are excited to have purchased this strategic site in East Harlem and look forward to a future development that will provide new rental housing for local residents as well as others in the Greater New York City area,” said Eran Polack, chief executive of HAP, in a prepared statement. Read More