NEW YORK CITY-With plans to execute an upgrade, much like what was done at 200 and 150 Fifth Avenue, L&L Holding Co. LLC announced Tuesday that it has acquired a 99-year leasehold interest in 114 Fifth Ave., a century-old office tower at the southwest corner of 17th Street.
L&L secured its interests in the property ina joint venture with private equity firm Lubert-Adler in what was said to be a “highly complex real estate transaction that took over a year to complete.” According to the NY Post, the purchase price was $165 million. GlobeSt.com was unable to confirm the price.
“We’re delighted we were able to acquire this distinctive office building and continue to build our portfolio along the resurgent lower Fifth Avenue corridor,” says managing director Simon Wasserberger, who notes in the release that the complex deal required the creation of a new ground lease as well as the modification of an existing loan.
The building will be redone in much the same way as L&L’s properties higher up on the city’s major retail boulevard, according to senior managing director Yong Cho. Both of the company’s buildings, at 200 Fifth and 150 Fifth, won numerous honors for their renovations, including the prestigious BOMA Pinnacle Award for the best renovation of a New York City building.
Meanwhile, the company now has a major leasing opportunity on its hands. It will bring 330,000 square feet of prime vacant office space to market while upgrading the building, according to the announcement. Redevelopment plans include all new infrastructure systems, a new lobby, elevators, and several “green” spaces, including a landscaped roof that will serve as an elite tenant amenity.
Joshua Carson, Yong Cho and Kevin Fallon of L&L Holding represented the buyers in the transaction. It was not clear at press time who the sellers were, or who represented them.
The architecturally distinctive tower at 114 Fifth Ave. was completed in 1910 from plans by Mayniche & Franke. The building’s ground floor retail space is occupied by long-time tenants Banana Republic and Bank of America.
Lubert-Adler is a real estate private equity fund that manages $6.5 billion of equity across $16 billion of assets.