The Real Deal - New York Real Estate News

A community group claimed victory over Gamma’s Sutton Place tower. It might be short-lived

Posted: 24 Oct 2018 03:01 PM PDT

To the relief of an Upper East Side community group, Gamma Real Estate’s tower won’t violate new zoning rules until at least next year. But there’s no guarantee that the developer won’t build beyond that. On Monday, the East River 50s Alliance (ERFA) — the community group fighting Gamma’s condominium building, Sutton 58 — announced that the developer was restricted to zoning rules approved by the City Council last November until at least January 2019. […]

Here’s what the death of the New York Wheel could mean for Staten Island real estate

Posted: 24 Oct 2018 02:30 PM PDT

The New York Wheel, a more than $900 million project that was plagued with infighting and cost overruns, was meant to bring a world class tourist destination to Staten Island. Rich Marin, the project’s founder and former CEO, once claimed the project would transform the borough’s waterfront into the “gateway to America.” But despite the attraction’s official death on Tuesday, multiple brokers said the area’s real estate market should escape its wreckage relatively unscathed. Staten […]

Hidrock pays $41M for FiDi package that could give way to resi development

Posted: 24 Oct 2018 01:51 PM PDT

Hidrock Properties bought a development site and a six-story residential property in the Financial District for $41 million. The two adjacent properties at 140-142 Fulton Street sit mid-block between Broadway and Nassau Street. The deal is done in two separate transactions. The 140 Fulton parcel is a vacant lot that covers 2,714 square feet and sold for $19.8 million. The site was previously the location of a five-story building that was damaged by fire twice. […]

Chetrit Group, Mount Sinai planning 122-unit resi complex in Woodside

Posted: 24 Oct 2018 01:00 PM PDT

A partnership between the Chetrit Group and Queens developer Mount Sinai Properties pre-filed permits to build a 122-unit apartment complex at the former site of the Queens Motor Inn. The partners are looking to build an 11-story residential building at 43-21 64th Street in Woodside, just a few blocks the Brooklyn-Queens Expressway. The planned structure would contain 122 apartments, according to documents filed with the Department of Buildings. Plans call for a nearly 99,000-square-foot property […]

Facebook in talks for huge new office in Midtown South

Posted: 24 Oct 2018 12:34 PM PDT

Facebook is in talks to continue its expansion in Silicon Alley with a huge new office in Midtown South. The social media giant is negotiating to lease all of the office space at the 870,000 square-foot 63 Madison Avenue in the Nomad District, sources told The Real Deal. It wasn’t immediately clear if a lease has been signed, but sources familiar with the negotiations described the deal as a fait acompli. If the deal goes […]

Westchester & Fairfield Cheat Sheet: Sales launched for $1B Edge on Hudson project … & more

Posted: 24 Oct 2018 12:30 PM PDT

Sales launched for $1B Edge on Hudson project in Sleepy Hollow Construction and sales have commenced for the 1,177-unit Edge on Hudson development in Sleepy Hollow, the Westchester Business Journal reported. Toll Brothers is developing and marketing the residential portion of the project, which features a mix of condos and brownstone-style townhomes. The site’s developers — a joint venture between California-based SunCal and New Jersey’s Diversified Realty Advisors LLC — will also construct a 140-key […]

New home sales see fourth consecutive month of decline

Posted: 24 Oct 2018 12:00 PM PDT

The market for new construction single-family homes is losing momentum, as sales dropped for the fourth month in a row in September. Seasonally adjusted sales of new homes fell by 5.5 percent to 553,000 in September from August and 13.2 percent year over year, according to federal figures reported by the Wall Street Journal. The percentage drop was most drastic in the Northeast, where sales dropped by 51.3 percent to 19,000 sales from September 2017. […]

Inside L&L, Normandy’s plan to turn Terminal Stores into a $1.8B property

Posted: 24 Oct 2018 11:30 AM PDT

L&L Holding Company and Normandy Real Estate Partners are proposing to turn the Terminal Stores warehouse in West Chelsea into a $1.8 billion property in four years. The partners, who closed on their $880 million purchase of the block-sized building Wednesday, plan to spend an additional $220 million to renovate the property, according to investor deck reviewed by The Real Deal. The designs, which approvals from the city Landmarks Preservation Commission, call for the creation […]

Louis Greco’s plan to stack condos on top of 285 Schermerhorn finally moves forward

Posted: 24 Oct 2018 11:00 AM PDT

Louis Greco’s Second Development Services (SDS) is finally getting to work on a condominium conversion of Brooklyn Community Services’s (BCS) headquarters at 285 Schermerhorn Street in Downtown Brooklyn. SDS and an undisclosed private investor landed a three-year construction loan of $53.25 million from hard money lender G4 Capital, in a deal that closed Monday, according to G4 partner Jason Behfarin. The transaction included a “cash-flowing multifamily building” on 33rd Street in Manhattan as collateral and […]

Realogy plans to franchise Corcoran brand across globe

Posted: 24 Oct 2018 10:10 AM PDT

The Corcoran Group — one of New York City’s top residential brokerages with $21 billion in annual sales — is gearing up for a massive expansion. Parent company Realogy Holdings said Wednesday that it plans to franchise the Corcoran brand beyond its stronghold on the East Coast to “global megacities” and leisure markets. As a part of the move, Realogy will also franchise Climb, a mobile- and tech-focused brokerage in San Francisco that it acquired […]

Anonymous LLC is first buyer at 220 CPS

Posted: 24 Oct 2018 09:48 AM PDT

The first unit to close at 220 Central Park South sold at roughly asking price, with the buyer paying $14.63 million, property records show. The buyer — dubbed Great Lawn Holdings LLC — went into contract on Unit 24B in December 2017, according to property records filed with the city. The deed, which was recorded Wednesday, was signed by real estate attorney James Killean, a signatory for Vaux Capital. According to the condominium’s offering plan, […]

Missed TRD’s call on real estate and politics? Subscribers can listen to the audio file

Posted: 24 Oct 2018 09:16 AM PDT

Earlier this week, subscribers got an inside look at The Real Deal’s deep dive into the interplay between Albany politics and New York’s real estate industry in a call with our editorial team. If you subscribe and missed the call, we’ll be posting the full audio cut on the website tomorrow. Not a subscriber? Don’t miss out — sign up now. On the call, TRD’s senior content director, Jill Noonan, and managing issue editor, Damian […]

Savanna is in contract to buy Chelsea office building for $100M

Posted: 24 Oct 2018 08:30 AM PDT

Savanna is nearing a deal to buy a Chelsea office property for $100 million. The private equity firm is in contract for the 126,000-square-foot building at 48 West 25th Street, which sits between Broadway and Sixth Avenue near Madison Square Park, according to the New York Post. Built in 1920, the 12-story building has been owned by the Klapper family of Superior Sewing equipment since the 1970s. A Cushman & Wakefield team led by Adam […]

RXR taps Convene to manage invite-only penthouse club at 75 Rock

Posted: 24 Oct 2018 07:40 AM PDT

An exclusive, invite-only club atop 75 Rockefeller Plaza is set to be operated and managed by flexible working company Convene, a sign of a shift towards property management for the co-working industry. The new gathering spot for New York’s movers and shakers, Club 75, will open Thursday on the 32nd floor penthouse of 75 Rockefeller, the New York Post reported. Owner Scott Rechler, chief executive and chairman of RXR Realty, partnered with the co-working company […]

Compass’s latest flagship office is an UES townhouse

Posted: 24 Oct 2018 07:10 AM PDT

Expansion-hungry Compass is opening a new flagship office in the Upper East Side. The SoftBank-backed brokerage, which is now valued at $4.4 billion, will move into a 5,400-square-foot space at 962 Madison Avenue, a three-story townhouse. According to the New York Post, the entire space had a $1.35 million per year asking rent. The storefront includes a 400-square-foot entrance and Compass will take over the entire three floors. The company last month raised $400M from […]

Here’s what the $10M-$20M NYC investment sales market looked like last week

Posted: 24 Oct 2018 06:30 AM PDT

In the world of mid-market New York City investment sales last week, 60 Guilders and Carlyle Group sold a Garment District commercial condo and Aview Equities closed on a Downtown Brooklyn office building. 1.) 60 Guilders and the Carlyle Group sold a commercial condo unit in the Garment District for $12.9 million.The building, with the address of 18-20 West 33rd Street, is an 11-story property with 21 units. The partners previously set a sellout target […]

How Sonder hacked NYC’s short-term rental law

Posted: 24 Oct 2018 06:00 AM PDT

Hospitality company Sonder is opening its first New York location. The company inked a master lease for 169 units at Metro Loft Management’s office-to-apartments conversion 20 Broad Street, where it will occupy the lower eight residential floors. It expects the units to open this quarter. San Francisco-based Sonder, founded in 2012, leases apartments and turns them into furnished short-term rentals that compete with hotels. In August the company raised $85 million in a Series C […]

CoStar on pace for nearly $1.2B in revenue in 2018, Florance says

Posted: 24 Oct 2018 05:30 AM PDT

CoStar Group has reported another jump in revenue to $306 million for the company’s third quarter, a 23 percent increase over the same period last year. The company, which has a market cap of almost $14 billion, said that it was positioned to reach between $1.83 billion and $1.89 billion in revenue for 2018. CoStar’s adjusted EBITDA in the third quarter was $110 million, a 31 percent increase over the third quarter of 2017. CEO […]

The stock market is still riding high. So why are real estate stocks tanking?

Posted: 24 Oct 2018 05:00 AM PDT

Even a record-high stock market can’t cheer up real estate investors. The Dow Jones saw a winning streak earlier this month. And the economy, broadly, is strengthening, with the unemployment rate falling to the lowest level since 1969. But real estate stocks across the board have been sliding downhill over the last year. “We are definitely in a soft market and it will continue to soften next year,” said Carter Trent, a research associate at […]

Hudson Square is in for a condo boom — but industry players say “attainable luxury” may be short lived

Posted: 24 Oct 2018 04:30 AM PDT

Nestled at the intersection of Soho, Greenwich Village and Tribeca, Hudson Square is seeing a wave of condominium projects that could define it as a cheaper option for luxury housing in the area. In the wake of a 2013 rezoning, the waterfront neighborhood, also known as West Soho, has been primed for residential development. Over the last four years, the median sales price there has climbed 29 percent, data compiled by appraisal firm Miller Samuel […]

Knotel is WeWork’s fiercest rival. Here are its internal numbers.

Posted: 24 Oct 2018 04:00 AM PDT

Rapid expansion comes at a price. Knotel, one of WeWork’s biggest threats, racked up an EBITDA loss of $24.1 million on $17.6 million in revenues between January and July, according to internal numbers obtained by The Real Deal. The company’s operating loss stood at $11.6 million. Founded in 2016, Knotel expanded from just 200,000 square feet of office space under management at the beginning of 2017 to 1.7 million square feet today. At the end […]