JV Acquires Leasehold for $45M Redo

NEW YORK CITY-An International partnership led and controlled by Monaco-based M1 Real Estate, with Joseph Safdieh of Safka Holdings LLC and several locally based GVA Williams executives, has acquired a 99-year leasehold of 224 W. 57th St. Known as the Argonaut, the 175,000-sf structure is the former New York City headquarters of General Motors and more recently Hearst Publishing from whom the lease was acquired.

The consortium plans a major renovation of building systems and interiors, intending to have new office and retail space ready for occupancy in 2008. An estimated $45 million in hard and soft costs will be expended to renovate and retenant the building.

A source close to the deal tells GlobeSt.com that the acquisition price cannot be disclosed at this time. Located on the southeast corner of 57th Street and Broadway, the building will be gutted and will undergo complete internal renovations, including new HVAC, elevators, lobby, generators, and sprinkler systems. Some aesthetic restoration work will also be performed on the building’s exterior in conjunction with the guidelines of the city’s Landmark Preservation Commission to restore its original splendor.