Marcus & Millichap Sells Midtown Development Site for $14.3M
Al Barbarino March 25, 2014, 8 a.m.
Marcus & Millichap has arranged the $14.3 million sale of a two-story commercial building at 1009-1019 Second Avenue in Midtown East, Commercial Observer has learned.
The 6,205-square-foot property features 42 feet of frontage on Second Avenue between 53rd and 54th streets. Two commercial tenants – Midtown 1015 and Sessions House – currently operate within the property, but zoning also allows for approximately 35,000 buildable square feet.
The buyer plans to utilize the air rights immediately for a likely mixed-use development, as both commercial tenants contain termination clauses in their respective leases which the new owner could exercise, the firm said.
“This was a unique transaction due to the fact that the deal contained both substantial cash flow and air rights,” said Marcus & Millichap’s Joe Koicim, who arranged the sale with Peter Von Der Ahe, David Lloyd and Steven Siegel of the same firm. “As a result, there were several types of buyers who were at the table with different plans for the real estate.”
“We were able to create a competitive bidding environment from the different buyer pools that allowed us to negotiate a deal with the specific terms our client was seeking,” Mr. Lloyd added.
The buyer and seller were not disclosed.