NEW YORK CITY—SL Green is working to sell a development site on the southeast corner of East 59th street and Third avenue, across the street from Bloomingdale's, according to the Real Deal. The spot has a combined 90,000 buildable square feet and could be developed into a mixed-use retail and residential tower.
Robert Knakal and Clint Olsen of Massey Knakal Realty Services are marketing the site. An asking price hasn't been set but Knakal tells GlobeSt.com that the site will likely fetch a healthy sum.
"This site will likely have a very significant retail component of three or four floors given the outstanding location near Bloomingdale's,” he says. “We anticipate record pricing for this world class site.” An industry insider told the Deal SL Green would be seeking close to $100 million.
The site features three separate buildings, at 985, 987 and 989 Third Ave. SL Green acquired the main site for $18 million in 2012 but later purchased the air rights required to build the prospective tower. A new owner could build as much as an additional 21,000 square feet, which could be used to grow the property's residential component if the developer can receive an inclusionary housing bonus.
If it sells, the Third Avenue site would be the latest acquisition on the section of Third Avenue near Bloomingdale's. The development firm World-Wide Group paid $37 million for an 11-story commercial building at 155 E. 60th St. across the street from Bloomingdale's earlier this year, according to the Real Deal.
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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.
