Real estate fund manager ALTO Private Investments has announced the sale of a retail condominium at 200 West End Avenue on the Upper West Side for $50 million.
ALTO purchased the retail portion of the property with Klein American Group in 2011 for $31 million, subsequently signing three tenants to 15-year leases (CVS was in place under an existing long-term lease) and according to the firm increasing revenues by 40 percent.
“Two years after the acquisition and with the improvements we instituted, we sold the property at a gross return of almost three times our original equity investment,” said Mody Kidon, ALTO chairman and co-founder, in a statement. “This is our fifth exit in the last two years with an average 30% IRR.”
A previous announcement regarding the sale did not disclose the selling price.
ALTO Private Investments focuses on the acquisition of value-added commercial properties in major U.S. cities, having invested in 14 commercial properties totaling 1.8 million square feet and valued at $285 million. It is currently raising its second fund – ALTO Real Estate Investment Fund 2 – targeting $100 million of equity and $500 million of commercial real estate investments.