RH Guesthouse in NYC’s Meatpacking District For Sale

The famously secretive and private RH Guesthouse in Manhattan can be yours for just over $70 million.

Global brands have long recognized the value of lending their names and ethos to luxury residences and hotel properties globally as a way to expand and showcase the lens through which they view the world.

Luxury branded residences in Dubai and Miami include Armani, Bulgari, Aston Martin, Bugatti, Versace, Fendi, Porsche, Missoni, Cavalli, and Jacob & Co., all of which have successfully and thoughtfully co-developed and designed breathtaking edifices to increase their unique reputations for exclusivity and quality. 

It is often said “In Miami and Dubai, one sells the building before breaking ground.”  In New York, we have done the opposite: build, then populate. Boring. 

But as commercial real estate evolves with the times, the proven concept of brand expansion through iconic bricks is catching on in Gotham.

The RH Guesthouse at 55 Gansevoort Street in Manhattan’s renowned Meatpacking District is at the forefront of this new vision occupied by Restoration Hardware, a global luxury pioneer that needs no introduction. If you have visited homes, offices, or chalets in Aspen, Gstaad, Nantucket or Palm Springs, or five-star resorts in Bali or Tulum, you have encountered their wares.

DelShah Capital, headed by Michael Shah, a Harvard-educated former attorney and media favorite, worked hand in hand with RH in 2015 to convince New York City’s Landmarks Preservation Commission that the vintage 1887 five-story loft warehouse building should be stripped down to its core and re-envisioned as the RH Guesthouse. The painstaking process focused on preserving the building’s historical aesthetic while introducing it into the 21st century – Restoration Hardware style.

RH worked closely with Tribeca-based Anderson Architects (and spent a rumored eye-popping $62 million on 25,000 square feet) to create one of Manhattan’s most luxurious properties in a neighborhood surrounded by some of New York’s most popular landmarks and a short walk from the banks of the Hudson River.

Previously known as Meatpacking’s Flatiron building, RH Guesthouse contains 10 guest homes, of which six are luxury guest suites worthy of sovereigns or royals (good luck receiving an invite or even peeking into one). The building and its culinary offerings, including a wine and caviar bar, and rooftop 40-foot infinity pool with hanging gardens, are a stylish showcase and breathing beacon of global luxury lifestyle ambition – conveniently located steps away from RH’s 100,000-square-foot U.S. flagship showroom location on Ninth Avenue.

RH has thoughtfully integrated hospitality, food and beverage into more than 14 of its locations worldwide – but 55 Gansevoort is the only wholly populated landmark that it controls as the sole branded tenant. RH pays over $3.7 million annually with material rent increases through 2032, with options to extend for two 10-year periods and one five-year period thereafter. All in through rent and renovations, $120 million will have been spent through lease maturity on this unmatched landmark. For a mere $72 million, you can enjoy a 5 percent annual return, day one, increasing over the lease term.

Given its success and significant capital investment, RH will be at 55 Gans (speak like a local) for decades to come. 

Delshah Capital is presently marketing the property, as it advances its next projects with the RH lease in effect, through Meridian Investment Sales specialists David Schechtman and Helen Hwang, who are happy to take your call, but will definitely make you wait behind the velvet ropes for a tour.

David Schechtman, senior executive managing director, can be reached at 212-468-5907 or via email at DSchechtman@meridiancapital.com.