(Mark your calendars: RealShare Apartments 2011, Oct.20 in Los Angeles, and don't forget RealShare New York takes place Oct. 12 at the Marriott Marquis.)
NEW YORK CITY-Eastern Consolidated has been selected by special servicer ING Clarion Torchlight to market the $70-million mortgage note on an 460-unit, eight-building pre-war apartment portfolio in Upper Manhattan, unnamed sources tell GlobeSt.com. The buildings, known as Broadway Portfolio II, are all located within a few short blocks of one another between 160th and 164th Streets in Washington Heights and Morningside Heights.
The properties, owned by Vantage Properties LLC, are located at 3885 Broadway, 4455 Broadway, 3915 Broadway, 3900 Broadway, 80 and 86 Fort Washington Ave., 66-72 Fort Washington Ave. and 884 Riverside Dr. From here, an eight-member team at Eastern Consolidated will spearhead the marketing initiative for the sale of the defaulted senior secured interest in the portfolio, including senior directors David Schechtman, Azita Aghravi and Marcia Rose Yawitz; chairman Peter Hauspurg; directors Lipa Lieberman and Marion Jones; director of financial services Scott Ellard and associate Philip Huang.
Out of the entire portfolio, four of the buildings feature 23,000 square feet of retail space and 500 feet of retail frontage directly on Broadway, which the team hopes to play up in order to attract new businesses to the neighborhood. “Retail rents also represent a huge growth potential, given the stores’ location on or just off Broadway with rates that range from the low $40s per square foot to the high $120s,” Aghravi says, in a statement.
The remaining properties on Fort Washington Ave. and Riverside Dr., caters more toward professional firms and medical offices, Yawitz says. “This offering provides a rare opportunity to control the debt service anchored by eight well-maintained multi-family buildings within the immediate vicinity of the Columbia Presbyterian Hospital complex, which constitutes a major source of demand for quality housing,” she says, in a statement.
A big part of the marketing effort, according to Eastern, revolves around the portfolio’s proximity to mass transit. The buildings are accessible by the 1 subway train at 157th St., the A and C trains at 163rd St. and the 1, A and C lines at 168th St., in addition to local buses.
As for the units themselves, Eastern says the residential rental rates in the buildings are below market-rate and 75% of the apartments are rent-regulated, but depending on new ownership, a landlord can choose to deregulate the units if tenants’ rent reaches the new $2,500 threshold set by the New York State Legislature in June.
The sale announcement comes shortly after Harbor Group International and Great Neck, NY-based Jadam Equities LLC acquired a distressed 214-unit, four-building multifamily portfolio from a joint venture of Vantage and Apollo Real Estate Investors for $31 million, also in Washington Heights. At the same time, Vantage and partner Angelo, Gordon & Co. have made significant purchases outside of Manhattan. It acquired AIG’s six-building, 2,200-unit central New Jersey multifamily portfolio for $241.5 million earlier in the summer.
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