MFK Realty Affiliate Buying Vornado’s 512 West 22nd Street for $205M
Seller had announced a deal for the 172,000-square-foot office building earlier this month — but didn’t name the buyer
By Brian Pascus May 15, 2025 2:21 pm
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Steven Roth’s Vornado Realty Trust announced on Wednesday it had found a buyer for 512 West 22nd Street, a 172,000-square-foot, Class-A office building in the Chelsea neighborhood in New York City.
While the buyer wasn’t identified, sources told Commercial Observer that it’s Raghsa Real Estate, an affiliate of MKF Realty, which will snap the building up for $205 million.
Will Silverman and Gary Phillips of Eastdil Secured arranged the sale, while Grant Frankel of Eastdil is currently in the market arranging the debt, which will likely carry a 60 to 65 percent loan–to-value, sources close to the deal told CO.
MKF Realty, Vornado and Eastdil did not respond to requests for comment.
Vornado held a 55 percent joint venture ownership of the building with The Albanese Organization, bringing its share of the proceeds of the sale out to roughly $112.5 million. The firms will use the proceeds from the sale to jointly repay a $123.6 million mortgage on the property.
The sale is expected to close next quarter.
Originally built in 1920 as an industrial property, the 11-story 512 West 22nd Street began undergoing a total renovation by Vornado in 2016, which included building over an existing five-story parking garage and constructing six new stories. CommercialEdge reported that Vornado and Albanese funded the redevelopment with a $55.3 million construction loan from PNC Bank.
Vornado said in its 2016 annual report that the development was expected to cost $130 million, with Vornado being responsible for $72 million.
CO reported in 2021 that WarnerMedia signed on as the first tenant in the building, taking 20,000 square feet in September 2019, with much of the other floors leased to small financial services tenants. Hedge fund manager Alexander Klabin signed a five-year deal in 2021 for 6,800 square feet on a portion of the fifth floor of the building.
Back in 2020, MKF Realty snapped up One Union Square South from Related Companies for roughly $211 million.
Cathy Cunningham contributed reporting to this article.
Brian Pascus can be reached at bpascus@commercialobserver.com
