New York—HAP Investments, a New York-based real estate investment and development company, has acquired a development site at 215-219 West 28th St. in Manhattan for $51 million. The site comes along with adjacent air rights.
The site is between Seventh and Eighth Aves. and is close to the Google New York headquarters and the Fashion Institute of Technology. According to HAP Investments, the company plans to build condos at the location beginning next spring. An architect hasn’t yet been selected for design of the building.
The site was acquired from a private investor and will accommodate a residential tower with below-ground parking and ground-floor retail. To facilitate the deal, HAP Investments partners Amir Hasid and Nir Amsel raised equity capital from a group of Israeli investors, with additional financing arranged by Trevian Capital, a New York-based lender.
The site is situated in a newly rezoned district (M1-6D), which allows for residential development in what used to be a manufacturing district. According to zoning amendments approved in 2011, residential use is permitted on sites in the area that aren’t occupied by buildings larger than 40,000 square feet.
The previous owner had received initial approvals for a 120,000-square-foot building including nearly 150 residential units, parking, and ground-floor retail. HAP Investments hasn’t specified yet how many condos it plans for the site, however.