Klosed Properties has made its first Soho property purchase, picking up a retail condominium unit at 202 Spring Street for $7 million, Commercial Observer has learned. Klosed bought the property in partnership with Namdar Realty Group, said Steven Kachanian, the principal at Klosed. The deal took about two and a half years to complete, Mr. Kachanian said.
David Goldoff of Camelot Realty Group, who was the lone broker in the deal, said the property was on and off the market for three or four years.
“We started at $5 million and at the end, we settled at $7 [million],” he said. “Truth be told, we actually had somebody else who wanted to do it at $7.3 [million], but we trusted that Klosed, who were the buyers, had better financials.”
Mr. Goldoff’s father, Barry, and uncle, Robert, bought the building in 1983 for $350,000, David Goldoff said, and Camelot managed it with them. The building’s lone retail space, a duplex on the ground floor and basement, was the last piece the Goldoffs owned in the building.
The tenant occupying the Sullivan Street space, Spa Belles, is paying $24,000 a month in rent, David Goldoff said, on a lease that expires in a year and a half. Klosed could double the next tenant’s rent, Mr. Goldoff speculated.
Mr. Kachanian tapped Roxanne Betesh of Sinvin Realty to lease the retail space with an asking rent of $350 per square foot.
The four residential condos in the 6.5-floor building are occupied as is the medical condo on the second floor.