NEW YORK CITY—William Macklowe Co., in a partnership with Principal Real Estate Investors has acquired 311 W. 43rd St. for $107 million. The seller of the 186,000-square-foot office building was Atlas Capital Group.
Eastern Consolidated's Brian Ezratty, vice chairman and principal, and Scott Ellard, VP and principal, represented Atlas Capital Group while Ezratty also rocured the buyer. This was the third time in five years that Ezratty and Ellard have sold this asset.
In 2010, Ezratty, Peter Hauspurg, chairman and CEO of Eastern, and Ellard completed a partial sale of the asset when owner Zuberry Development Co. bought out its partner, a Douglas Durst controlled entity, for about $40 million. Then in January 2013, the Eastern team repped Zuberry and sold the asset to Atlas for $62.4 million.
"This property has increased in value by nearly 170% in five years for a number of reasons," Ezratty says. "In addition to Atlas' upgrades and the improving real estate market, WeWork-type tenants are seeking space in commercial loft-style office buildings like this with high ceilings, oversized windows, good light and air, a full floor presence, and roof top amenities, plus the neighborhood has undergone significant improvements."
The building is adjacent to the 300,000-square-foot Intercontinental Hotel site that Ezratty sold to Tishman Hotels, and it sits on the same block as 322-326 W. 44th St.,where he arranged a long-term net lease for hotel developer Sam Chang.
"Atlas finished the first phase of its value-add strategy for 311 W. 43rd Street by completing a large majority of the base building work including façade work, all new electric service, fully renovated elevators, and refinishing both lobbies," Ezratty continues. "Now Macklowe and Principal will further these enhancements by implementing new tenant improvements in the vacant upper floors and penthouse level as well as adding a new roof deck amenity as part of its overall leasing strategy."
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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.
