Redevelopment Projects Continue in New York; 220 Park Ave. Sold for $20M

By Veronica Grecu, Associate Editor New York’s Chelsea Hotel, which was purchased earlier this year by developer Joseph Chetrit for more than $80 million, will undergo major renovation. Although the exterior renovation is limited because of the building’s Queen Anne architectural [...]

New York’s Chelsea Hotel, which was purchased earlier this year by developer Joseph Chetrit for more than $80 million, will undergo major renovation. Although the exterior renovation is limited because of the building’s Queen Anne architectural features, the interior will undergo significant transformations. According to the Wall Street Journal, the lobby will be expanded, the rooms will be combined and the building’s infrastructure will be upgraded. Gene Kaufman, the architect who will oversee the renovation, plans to reconfigure the floor plans while keeping its unique layout. The hotel’s two vacant stores and basement space will be renovated as well.

In other residential news, 14 properties located between West 145th and West 153rd streets between Seventh and Eighth avenues in Harlem will remain affordable for another 30 years, according to Crain’s New York Business. The buildings were recapitalized by L+M Development Partners Inc., Harlem Congregations for Community Improvement and city and state housing agencies.

The $75 million financing comes from the city’s Department of Housing Preservation and Development, the city’s Housing Development Corp. and the New York State Homes and Community Renewal. It includes low-income housing tax credits, bonds and various subsidies. The 14 buildings will be managed by L+M Development Partners, and the company will manage the $13 million fund meant for equipping the properties with energy-efficient systems.

In other news, Marcus & Millichap recently announced the sale of 220 Park Ave. South, a mixed-use residential and retail asset located at the corner of Park Avenue South and 18th Street in Manhattan. The property was sold to an undisclosed, locally based landlord and private investor for $20 million. The seller, a Long Island, N.Y.-based family, was represented in this transaction by Peter Von Der Ahe, a vice president of investments;  Joseph Koicim, senior associate; and David Lloyd, multifamily investment specialist, from Marcus & Millichap’s Manhattan office. The 33,638-square-foot building includes 37 residential units, most of which are studios and one-bedroom units, as well as four two-bedroom duplex penthouse apartments and one 2,650 square feet of retail space.