A parcel of development land at 1205-1225 Broadway was sold in an all-cash transaction for $71.9 million to The Lam Group, a developer of franchised hotels. The property is located on the north-west corner of Broadway and West 29th Street in the heart of Herald Square.
1205-1213 Broadway is a three-storey commercial office building giving approximately 33,189 gross square feet of space, with 78,561 ft.² of unused air rights. It has approximately 111,750 ft.² of total developable footage. 1215-1225 Broadway is a nine story commercial office building with around 91,936 ft.² and 46,314 ft.² of unused air rights. It has around 138,250 ft.² of total developable footage. The buildings have approximately 250,000 ft.² of total buildable footage altogether, and although 25% occupied at the time of sale, the leases expire within the next two years.
The Massey Knakal team included chairman Robert Kankal, vice-chairman and partner John Ciraulo, and director of sales Craig Waggner. This deal was particularly significant for being indicative of the transformation undergoing this neighborhood.
Although this transaction was huge, it is just one of several recently completed by Massey Knakal, as a leased restaurant condominium at 115 Allen Street, between Delancey and Rivington Street on Manhattan’s Lower East side was recently sold in an all-cash transaction for $2,325,000. The restaurant condominium houses Mary Queen of Scots, a well-known restaurant/bar. The space includes around 1,800 ft.² on the ground and 1,110 ft.² on the lower level, and recently underwent a 1.5 million renovation which included a newly installed kitchen. The current restaurant owners have a full liquor license and already have a successful first restaurant in the West Village named Highlands.
According to Massey Kankal Director of Sales, Michael DeCheser, who exclusively handled this transaction with Massey Knakal Partner, James P Nelson, “This was the first retail condo sale on the low East side in years. Demand for retail condos continues to be strong, as the supply is low. Investors were drawn to the strong in-place cash flow that this restaurant had for and the future upside is that area continues to gentrify.”