Developer Gale International has agreed to buy a Flatiron District development site that is currently owned by Gary Barnett’s Extell Development Co.
The site, located on 19-25 W. 20th Street, is a 9,200 square foot vacant lot that sits next to a parking garage. The asking price was reportedly $300 a buildable foot. If it closes the deal, Gale International will be able to add three stories on top of the parking lot, which is leased out by Icon Parking.
The site “is under contract, and we are expecting a closing in a couple of months,” said Robert Knakal, chairman of Massey Knakal, which was marketing the property and was involved in the sale.
The plan is to build next to, and on top of, the garage, Mr. Knakal added.
Extell purchased the property, including the garage, for $28 million in 2007 with the aim of constructing a 15-story residential tower. It instead put the property back on the market earlier this year.
“Extell’s plans were approved by Landmarks [the city Landmarks Preservation Commission], and there are some plans to restore the facade of the garage in accordance of what Landmarks wanted,” added Mr. Knakal.
Extell Development’s Gary Barnett was in a meeting and could not immediately comment on the deal. Mr. Knakal would not comment on the price of the sale, which is not expected to close for another few months.
Gale International is headed by Stan Gale and John Hynes III and is involved in development projects in North America and Asia, according to its website.
The company is currently working on Seaport Square, a 6.5 million square foot, $3.5 billion redevelopment on Boston’s waterfront.
It also reached a deal with the South Korean city of Incheo to develop the Songdo International Business District, worth $35 billion, according to Gale International’s website.