NEW YORK CITY—New York-based real estate investment management firm Savanna today announced its acquisition of an office building located at 19 W. 44th Street. The property, referred to as the Berkeley Building, is an 18-story, 303,943-square-foot structure located between Fifth and Sixth avenues in the heart of Midtown. The seller was Deka Immobilien GmBH, the real estate investment asset management branch of the Deka Group, a German bank.
The property sale price was $195 million, at $642 per square foot, according to Colliers International.
Originally constructed in 1916, with pre-war architecture, the building has a historic masonry façade and entrance. It features oversized loft-style windows and outdoor terraces.
Andrew Kurd, director of Savanna, notes the building's physical attributes include light and air on all four sides, flexible 18,000 square-foot floor plates and desirable ceiling heights. “We will build on those existing advantages by investing over $25 million to upgrade building systems, develop a new entrance and lobby, and reposition the assets to cater to a wide variety of tenants in the market,” he says.
Savanna reports the current tenants include legal, media and professional services firms. The capital improvement will include renovating the roof and facade, improving mechanical, engineering and plumbing systems, and modernizing bathrooms and hallways. The property will also be marketed with a new branding campaign.
Savanna has hired JLL to manage leasing efforts. Mesa West Capital provided financing for the building's acquisition and repositioning. Hodges Ward Elliott arranged financing on behalf of Savanna, and Colliers International represented the seller.
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Betsy Kim
Betsy Kim was the bureau chief, East Coast, and New York City reporter for Real Estate Forum and GlobeSt.com. As a lawyer and journalist, Betsy has worked as the director of editorial and content for LexisNexis Lawyers.com, a TV/multi-media journalist for NBC and CBS affiliated TV stations in the Midwest, and an associate producer at Court TV.
Betsy Kim
Betsy Kim was the bureau chief, East Coast, and New York City reporter for Real Estate Forum and GlobeSt.com. As a lawyer and journalist, Betsy has worked as the director of editorial and content for LexisNexis Lawyers.com, a TV/multi-media journalist for NBC and CBS affiliated TV stations in the Midwest, and an associate producer at Court TV.
