Slate Selling Lone Chelsea Holdings With $30M-Plus Target [Updated]
Terence Cullen July 7, 2016, 11:37 a.m.
Slate Property Group is selling two of its contiguous multi-family buildings in Chelsea about two years after buying them, Commercial Observer has learned.
Brokers shopping around the properties, 222-224 West 21st Street, believe it could now sell for at least $30 million. That would be nearly double the $16.8 million that Slate paid for the 20,120-square-foot property in 2014, property records indicate.
David Schechtman of Meridian Investment Sales, who’s marketing the buildings between Seventh and Eighth Avenues with colleagues Lipa Lieberman and Abie Kassin, said all 27 rental units are market rate and completely occupied.
“This is for a buyer who really wants to get into New York City real estate or wants to add to their portfolio with a building that needs zero capital expenditures at inception or anytime in the near future,” Schechtman told CO, declining to confirm the identity of the seller.
Millions of dollars have been poured into the buildings since they last changed hands a little more than two years ago, Schechtman said. That includes spruced up common areas, infrastructure such as gas and electric as well as a rehabilitated interior and exterior.
Schechtman said he approached the owner about selling the buildings because he felt it was the best time in the market to put them on the market.
“There’s a very, very strong in-place income,” he said. “To the extent that there’s any natural lease expirations, I promise you there have been or are waiting lists for additional tenants to come to the property. It’s just a very in-demand, on-point building.”
The connected structures are Slate’s sole holdings in Chelsea, according to the Manhattan-based developer’s website. The company bought the five-story buildings from The Wetenhall Group in March 2014, according to property records.
Slate Co-Founder Martin Nussbaum confirmed the company was the owner, but declined to comment.
Update: This story was edited to include confirmation from Slate.