NEW YORK CITY—Thor Equities has sold 693 Fifth Ave. in Midtown, home to the flagship location of luxury retailer Valentino, to a French investor for $525 million. The sale price was nearly four times the $140 million Thor paid Japanese retailer Takashimaya in June 2010 for 693 Fifth Ave. Thor undertook a significant capital program at the property after its purchase.

The 100,000-square-foot office and retail building had been under contract for sale. The buyer of the 20-story property is Fimalac, a Paris-based holding company set up and led by billionaire Marc Ladreit de Lacharrière, according to an industry data source.

Darcy Stacom and Marcella Fasulo of CBRE's Investment Properties Group represented and marketed the building on behalf of Thor Equities. Savitt Partners' Bob Conover and Michael Dubin represented the buyer in the transaction.

“693 Fifth Ave. is a real estate asset that can never be duplicated,” says Dubin. “From its central location, in the heart of the Plaza District, to the high-profile tenants occupying retail and office space, this property is a true gem in the market. We believe that in working closely with Fimalac we will be able to further enhance the value of this incredible asset.”

After purchasing the property, Thor restructured the interior to create a multi-level retail space and in 2013 signed a long-term lease with Valentino for that portion of the building. The Louis Licari salon also is a retail occupier there. Office tenants at the building include Carpenters Workshop Gallery and Phillips Auctioneers.

In its renovation, Thor also created a modern floor-to-ceiling window façade from the ground level through the eighth floor and worked with designer David Chipperfield to recreate the interior, including a new lobby for the building.

“We continue to believe strongly in the retail and office market on Fifth Avenue and throughout New York City,” says Joe Sitt, CEO of Thor Equities. “However, after successfully implementing our business plan of improving this prime retail and office location and securing an internationally recognized tenant, we felt the time was right.”

Thor Equities own a number of additional properties on Fifth Avenue including: 685 Fifth Ave., the future home of the new Coach global flagship store; 597 Fifth Ave., 590 Fifth Ave., 564 Fifth Ave., 562 Fifth Ave., and 530 Fifth Ave. in Midtown; along with 172, 164 and 139 Fifth Ave. in Flatiron.

Instant Insights /

Fifth Ave. Asset Sold for Sizable Profit

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