NEW YORK CITY-RWN Real Estate Partners and Silverstone Property Group have closed on the sale of the Grayson, a 17-story, 128-unit residential building located at 247 E. 28th St.,in the Kips Bay neighborhood. The property was sold to a private investor for $99.75 million.
The redevelopment team, led by Martin Nussbaum, principal and co-founder of Silverstone and principal and co-founder of Slate Property Group (note: Slate Property Group was not involved in this transaction), and Ari Shalam, managing partner of RWN Real Estate Partners, originally purchased the property for $53 million in February 2012.
After executing a complete renovation of the 109,000-square-foot building, the partnering firms transformed the asset into a first-class property, nearly doubling its value in just two years. Andrew Scandalios, senior managing director of HFF, represented the seller and George Niblock, managing partner of Friedman Roth Realty Services represented the buyer for this transaction.
RWN and Silverstone modernized all of the rental apartments with high-end finishes, including 6-inch sandstone oak flooring, custom cabinets and closets, polished quartz countertops, top-of-the-line appliances and extravagant windows that capture the spectacular city views. The team overhauled the lobby and entrance, installing honed limestone floors and illuminated feature walls, and added luxury condominium-like amenities to The Grayson, now complete with a private landscaped courtyard, a garden roof deck with river and city views, a state-of-the art fitness center and a residents’ lounge with a library, billiards table and entertaining kitchen. The building additionally includes two retail tenants, including Chase Bank, a blue-chip investment grade retail tenant.
Says Nussbaum, “The repositioning of the Grayson demonstrates the success of my overall business strategy: to identify and acquire real estate assets with significant value-add potential and transform them into premier buildings when redeveloping and operating them. The collective industry experience of my team and our superior knowledge of New York City’s submarkets have enabled us to add significant value to projects like The Grayson.”
Shalam adds, “RWN Real Estate Partners is proud of the strategic role it played in this transaction. We saw the vast potential of the Grayson in its size, location and under-market rents and brought both capital and expertise to Silverstone to maximize the property’s value.”