Dalan Management, Marcus Partners Sell Midtown South Office Buildings for $28M

Dalan Management and Boston-based Marcus Partners have offloaded a set of Midtown South office buildings for $27.5 million, according to city records made public Wednesday.

Dalan and Marcus, through the entity MCP II Thirty Third Street, sold 10 East 33rd Street and 12 East 33rd Street to Han 533, an entity tied to a house in Old Tappan, N.J., at a significant discount from what Marcus paid for the properties in 2018, records show.

Peter Cameron, head of assets at Marcus, signed for the seller, while Henry Park signed for the buyer, according to records.

It’s unclear who brokered the deal. Spokespeople for Dalan and Marcus did not immediately respond to requests for comment. Park could not be reached for comment.

Dalan bought the adjacent 11-story buildings, which comprise 22 full-floor office lofts and ground-floor retail space, from Adee Associates in February 2015 for $36 million, as Commercial Observer previously reported.

In August 2018, Dalan recapitalized the property when Marcus paid $54.5 million to buy a majority stake in the site, The Real Deal reported at the time. Dalan retained a minority stake in the buildings as part of the joint venture.

It’s unclear what the new owner’s plans are for the property, but Dalan and Marcus had planned to upgrade the buildings’ facades, elevators and lobbies in 2018, TRD reported.

Current office tenants of the buildings a block away from the Empire State Building include marketing agency Ironpaper Marketing and advertising firm Seiden at 10 East 33rd Street, as well as business consulting firm Ellevate Network and cooking magazine Panna at 12 East 33rd Street.

As for retail tenants, Korean barbecue restaurant Hyun is in the ground-floor space at 10 East 33rd Street, while dry cleaner London Cleaners is at 12 East 33rd Street.

Isabelle Durso can be reached at idurso@commercialobserver.com.