The 6,300 sf of land sold for $7,183 per sf. With a 105,000-sf condo planned for the space, the land works out to $431 per buildable sf. It was the only Upper East Side development site available when it was brought to market.

The seller, a joint venture of Lincoln Property Co. and Equity Residential, was represented by Alan P. Miller of Eastern Consolidated, who also procured the buyer. Ronald D. Sernau of Proskauer Rose LLP provided legal representation for the seller, and Wayne Heicklenn of Pryor Cashman LLP represented Ascent Group and is also an investor in the deal.

The existing buildings are on 305 East 85th St., also known as 1644-46 Second Ave. When construction is complete, ground-floor retail will have a 50-foot exposure on Second Avenue side, and the residential entrance will be on 85th Street. Residential units will start being sold in the fourth quarter of this year.

"This opportunity drew a lot of attention," says Miller. "The site was delivered vacant and nearly entitled, had a 421-a Tax Certificate benefit as well as Inclusionary Bonus Air Rights in place at the time of sale."

"The competition was fierce," he says. "The bid deadline we established needed to go to a second round as several groups were vying for this Upper East Side corner. All of the final suitors were quite capable as Eastern Consolidated had previously done business with them, but Ascend Group LLC really pushed hard and diligently in getting a contract executed in a timely fashion and emerged the winner."

Ascend Group is already developing two condominiums farther south: an East Village property called the A Building, and a Chelsea property at 133 West 22nd St.