Also included in the arrangement with Berkshire Capital GroupLLC, an affiliate of London real-estate investor CIT Group Plc, andLend Lease Real Estate Investments Inc. is a small adjacentsite—-167 West 23rd St. The 18-story Chelsea also features a 50-cargarage and six stores on Seventh Avenue.

"The sale says a lot about the strength of the New Yorkresidential market, especially the Chelsea area, and thecreditworthiness of our tenant," points out Mitchel A. Maidman,Townhouse president. And Townhouse and Pine plan to continue alongthe same path finding a niche in the corporate housingenvironment.

Townhouse was repped by Maidman & Mittelman LLP and FriedFrank Harris Shriver & Jacobson. The purchasers wererepresented by Akin Grump Strauss Hauer & Feld LLP and King& Spalding LLP. Financing for the sale was provided by CreditSuisse First Boston, which was represented by Sidley Austin Brown& Wood LLP.