NEW YORK CITY-American Development Group LLC, a real estate development and investment firm, along with Langsam Property Services Corp., a real estate management company, announced Friday the closing of the land acquisition of 219 W. 28th St. The property, a vacant lot and an existing structure, was acquired in a deal valued at $42 million, while the total valuation of the project will be $150 million.
Featuring a 116,000-square-foot residential tower with 150 rental units, the building will be new construction and is scheduled to start being built this June. It is also slated to include ground floor retail space and an underground, automated garage from AutoMotion Parking Systems LLC. Developed as a part of the city's new inclusionary housing program, the project will include 80% market rate and 20% middle income rental units.
“Due to the favorable zoning and inclusionary component of the site, this acquisition represents another outlet for ADG Langsam to create a successful high-end project in a fantastic location,” says Perry Finkelman, CEO of ADG, in the announcement. “The unique zoning of the property allowed us to extract the highest value, as well as allow a creative approach to affordability of both middle income and market rate units.”
Amenities at 219 W. 28th will include communal space for the residents such as a game room, library, and small offices for the residents to use as swing spaces for study or personal business. Additionally, a gym will be constructed on the second floor overlooking the mechanical components of the automated parking system.
“The automated component of the garage will allow visitors to see a unique perspective of a highly innovative mechanical system in use,” says Ari Milstein, of AutoMotion Parking Systems, a feature that has been added to previous ADG Langsam development projects. “Visitors will be able to see cars whisked away to shelves and turned 180 degrees without any human intervention, and—most importantly—no emissions or use of fossil fuels.”
The seller, a long-term owner/operator, was represented by Buchbinder and Warren Realty LLC. The buyer was represented by Edmond Levy of Cornerstone Properties, Richard Sussman from the law offices of Rosenberg and Estis, and David Cohen from the law offices of Moritt, Hock and Hameroff.
ADG is clearly on the move. The firm behind several projects in Manhattan and Brooklyn, including a historic conversion in Park Slope (910 Union St.) that was brought to market this past fall, a ground-up new construction condominium project in the Gramercy area (148 E. 24th St.) which sold out in less than one year, and a planned project to create North America's largest automated parking system in downtown Brooklyn.
“The last few years have been very successful" for ADG, adds Finkelman. “We are currently in a buying mode, aggressively seeking additional opportunities to acquire and develop off-market residential developments, re-development projects and hotel conversions across the New York City area.”
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Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
