The Real Deal - New York Real Estate News

Carmel Partners sells Norwalk apartment complex valued at $157M

Posted: 22 Sep 2020 04:00 PM PDT

Developer Carmel Partners, which has been in hot water over its potential involvement in the corruption case of Los Angeles City Council member Jose Huizar, has sold its majority stake in a 464-unit rental complex in Norwalk, Connecticut. Invictus Real Estate Partners, which owned 10 percent of The Waypointe at 515 West Avenue, bought Carmel’s 90 percent stake. The property is valued at $157 million. “We believe in Norwalk,” said Eric Scheffler, the managing partner

Group representing 85K landlords joins suit to stop CDC eviction ban

Posted: 22 Sep 2020 03:50 PM PDT

A group representing 85,000 property owners who control 10 million apartments joined a lawsuit that seeks to stop the federal eviction ban. The National Apartment Association joined the suit, which is trying to invalidate the Centers for Disease Control and Prevention’s eviction ban. The action was filed Sept. 9 in the federal court in Georgia. It names the Secretary of Health and Human Services and the acting chief of staff of the CDC as defendants.

Common raises $50M, eyes housing for remote workers

Posted: 22 Sep 2020 03:35 PM PDT

With its eye on housing for remote workers, co-living startup Common has raised $50 million in new funding. The Series D was led by Kinnevik with participation from existing investors Maveron, 8VC and Norwest Venture Partners, CEO Brad Hargreaves wrote in a blog post Tuesday. The round brings Common’s total funding to more than $113 million at a time when urban rental markets are struggling due to the pandemic. Founded in New York in 2015,

Leaked bank documents show South Florida real estate’s alleged ties to money laundering

Posted: 22 Sep 2020 03:30 PM PDT

A group of South Florida property owners’ alleged ties to global money laundering are revealed in newly leaked bank documents. A family who owns a home worth more than $2 million in the Jockey Circle neighborhood in Davie and a man accused of buying an $850,000 Tudor cottage in Davie with drug money are among the property owners emerging from a trove of suspicious activity reports, according to the Miami Herald. The reports are documents

Manhattan sees first September i-sale with UWS mixed-use building

Posted: 22 Sep 2020 03:24 PM PDT

Manhattan saw its first mid-market i-sale of September this past week, with a residential building on the Upper West Side changing hands for $17 million. Elsewhere in the city, a taxi medallion kingpin sold a large manufacturing building in Queens and a charter school picked up a new location in the Bronx, all within the $10 million to $30 million sector. The biggest investment sale in the middle market was in Brooklyn, for $24.3 million.

Soho penthouse buy sets record despite price chop

Posted: 22 Sep 2020 02:50 PM PDT

A Soho penthouse that once listed for $65 million has sold for nearly half that. The amount still set a record for the neighborhood despite the price chop. The 8,000-square-foot penthouse at 421 Broome Street closed for $35 million, the Wall Street Journal reported. The unit first hit the market in 2018, and was last listed for $43.75 million with Tal and Oren Alexander of Douglas Elliman. The penthouse is now the most expensive home

Oxford Property Group acquires Spire, expands to nearly 800 agents

Posted: 22 Sep 2020 01:30 PM PDT

Oxford Property Group is continuing its acquisition run, most recently picking up residential brokerage Spire Group, which specializes in both sales and rentals. The acquisition of Spire, the 115-agent firm led by co-founder Bianka Yankov until her death in April, closed in August. Combined, the two firms have 790 agents, according to Oxford CEO Adam Mahfouda. That’s a hefty jump from the 523 agents the firm had in March, according to The Real Deal’s annual

Brookfield Properties to lay off 20% of retail division

Posted: 22 Sep 2020 01:14 PM PDT

Brookfield Properties, one of the largest mall owners in the country, plans to lay off 20 percent of its retail staff, according to a report by CNBC. Brookfield Properties plans to cut jobs at its retail division because of a decline in business and in new leasing activity. The company said it will make cuts “to align with the future scale of our portfolio,” according to Jared Chupaila, CEO of Brookfield Properties’ retail group in

Members of Congress slam Industry City rezoning

Posted: 22 Sep 2020 12:57 PM PDT

Nearly a dozen elected officials Tuesday urged the City Council to reject the proposed Industry City rezoning — and the land-use process itself. In a letter, Reps. Hakeem Jeffries, Nydia Velázquez, Jerry Nadler and Yvette Clarke — who all represent Brooklyn — state that rezoning the 35-acre campus would “supercharge the displacement and gentrification that is undermining Sunset Park’s affordability and blue- collar job base.” State Sens. Julia Salazar and Zellnor Myrie, as well as

Laughing matters: Comedy club owners call for reopening

Posted: 22 Sep 2020 11:30 AM PDT

This is no joke. That’s the message New York City comedy club owners wanted to convey at Tuesday’s rally to reopen venues across the five boroughs that have remained shuttered during the pandemic. While restaurants have gotten the greenlight to begin in-person dining on Sept. 30, at 25 percent capacity, the city’s comedy clubs are still silent, exacerbating a financial crisis for performers and operators. The group’s ire was mostly aimed at Gov. Andrew Cuomo.

Sonder accuses Metro Loft of hiding legionella at 20 Broad

Posted: 22 Sep 2020 11:15 AM PDT

Hospitality startup Sonder is blaming an airborne pathogen for skipping rent payments at 20 Broad Street — but Covid isn’t the culprit. In new court filings, Sonder accused landlord Metro Loft Management of trying to hide, and ultimately failing to contain, an outbreak of legionella bacteria at the Financial District building. The Nathan Berman-led firm sued Sonder in July for $103 million, including more than $3 million in unpaid rent and $100 million to cover

City can’t afford to bail out restaurants: de Blasio

Posted: 22 Sep 2020 10:45 AM PDT

New York City restaurants in need of a savior can strike one candidate off the list: the city itself. Mayor Bill de Blasio said in a press conference Monday that his administration cannot afford to support restaurants as they face massive financial losses. “It’s a very painful situation and this is such a big part of our city’s life and such a big part of our communities, our economy, you name it,” the mayor said.

City Council proposes bill to expand outdoor dining permanently

Posted: 22 Sep 2020 10:30 AM PDT

Curbside cuisine may become a permanent fixture in New York City’s streets. A new bill introduced in the City Council Tuesday would repeal the current temporary program and make outdoor dining a lasting staple. The bill is being introduced by Council members Antonio Reynoso and Keith Powers. In addition to expanding outdoor dining, the bill would legalize outdoor propane heaters. “Outdoor dining has been a lifeline to restaurants across all 5 boros during COVID19. Extension

New York lawmakers push for new millionaires’ tax

Posted: 22 Sep 2020 09:44 AM PDT

New York’s real estate industry have another potential tax to worry about. A handful of New York legislators want to match New Jersey’s move last week to increase taxes on seven-figure earners to help plug the state’s growing budget deficit, according to the Wall Street Journal. Legislators in the Garden State agreed to raise Jersey’s tax rate to 10.75 percent from 8.97 percent for those earning between $1 million and $5 million. The move is

Sunset Park faces severe affordable housing shortage: report

Posted: 22 Sep 2020 08:15 AM PDT

Brooklyn’s Sunset Park, which is currently in the spotlight thanks to the controversial Industry City rezoning, is in desperate need of affordable apartments to alleviate a severe housing shortage, according to a report. The report by the nonprofit Fifth Avenue Committee found that only 1,000 new housing units were constructed in Sunset Park since 2014. Of those, only 80 were designated “affordable” through the city’s voluntary inclusionary housing program, and none were created through the

Chinatown jail that would replace Rikers is halted by judge

Posted: 22 Sep 2020 07:15 AM PDT

The city’s $8 billion plan to close Rikers Island and replace it with four borough-based jails suffered a setback this week. State Supreme Court Judge John Kelley ruled in favor of community groups that sued over the city’s plan to build a new jail on the site of the Manhattan Detention Complex in Chinatown, according to Spectrum News. Kelley said the New York City Council and the City Planning Commission failed to follow the correct

Manhattan landlords sue Knotel, Sprinklr for missing rent

Posted: 22 Sep 2020 06:45 AM PDT

The landlords of a 95,000-square-foot office building near Herald Square filed lawsuits against two of their major tenants, alleging that they failed to pay rent for months. United Group and American Equities, the owners of 29 West 35th Street, argue in court documents that flex-office startup Knotel and business software provider Sprinklr owe the landlords $536,000 and $283,000, respectively, for rent and legal fees. Together, Knotel and Sprinklr occupy more than 75 percent of the

Upper East Side condo conversion fetches $51M at auction

Posted: 22 Sep 2020 06:00 AM PDT

UPDATED, Sept. 22, 5:20 p.m.: A Upper East Side condo conversion just sold at auction, a possible sign of distress in New York City’s real estate market. Jason Carter of Carter Management Corp. paid $51 million for the 65,000-square-foot, 14-unit project at 305 East 61st Street, according to Commercial Observer. Developer Mitchell Marks’ conversion of the former art facility had a projected sellout of $105 million. SKW provided $30 million in financing on the deal.

Devour these snacks to help enjoy your workday

Posted: 22 Sep 2020 05:30 AM PDT

Note: These items are independently selected by our team. However, TRD may receive a commission when you purchase products through affiliate links. How often have you had to hide your snacks at the office? Whether out of fear of messiness or judgement from your co-workers, we’ve all been there. Just ask yourself: How often are you opting for a salad over a burger for lunch? While there are no replacements for business dinners and shared

Banks required balloon payments, stayed mum on foreclosure moratorium

Posted: 22 Sep 2020 05:00 AM PDT

Big banks led some consumers into financially risky mortgage agreements instead of offering the full relief program touted by the federal government, according to a report analyzing complaints. Detailing the practices of 13 large banks in those cases, researchers found that banks regularly offered forbearance as the only option to homeowners — sometimes requiring balloon payments at the end of the grace period, or putting the loans in forbearance without getting the borrower’s permission. Banks

Developer plans 200-unit mixed-use project at East NY border

Posted: 22 Sep 2020 04:30 AM PDT

A developer has filed plans to build a 200-plus unit apartment project at the border of East New York and Cypress Hills. Joel Schwartz, through an LLC, filed a permit application last week for a 238,506-square-foot, 14-story building at 2700 Atlantic Avenue. It calls for 227 residential units, according to the city’s Department of Buildings. Because it is in a recently rezoned area, the project is subject to the city’s Mandatory Inclusionary Housing program, the

Why Airbnb is going public in a pandemic

Posted: 22 Sep 2020 04:00 AM PDT

UPDATED Sept. 22, 2020, 2:40 pm: An industrial design graduate from upstate New York, Brian Chesky wasn’t your typical Silicon Valley CEO when he began thinking in earnest about taking his company public. Nine years earlier, in 2008, he had cofounded a home-sharing firm after he and a roommate invited strangers to stay on air mattresses at their San Francisco apartment to cover rent. The startup, Airbnb, had since grown to become a household name and