X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

NEW YORK CITY-A parking structure owned by ICON Parking at 38-46 W. 33rd St. has sold for $30 million, GlobeSt.com has learned. Hersel Torkian has purchased the site, which is zoned for both residential and commercial development. It is unclear what type of project he would look to develop.

The buyer, a local owner and operator of a number of retail stores in the area, has leased the site back to ICON for a 25-year period, but the agreement is cancellable at any time at the owner’s discretion, according to Eastern Consolidated’s Brian Ezratty, who represented the seller. The site would allow for a 100,000-sf structure, although Ezratty tells GlobeSt.com that the there is no time frame for development yet. The site now houses an eight-story, 325-car facility.

“The property is located on a good Midtown South block,” says Ezratty. “The buyer is in a favorable position because he can build either a hotel or condominium on the site, or he can do virtually nothing and continue to enjoy operating an income-producing property until market fundamentals change to his liking.”

Ezratty and colleague Scott Ellard represented ICON while Ezratty along with Helmsely-Spear’s Parviz Noghrey represented the buyer.

This deal follows closely on the heels of two other recent deals in the Midtown South submarket. Isaac Chetrit purchased 989 Avenue of the Americas and 240 W. 37th St. for a total of $92 million, as GlobeSt.com exclusively reported. Additionally, at the beginning of March, a parking garage sold for $31 million to Brack Capital Real Estate USA. The new owner plans to turn 63-67 W. 35th St. into a 30-story, 300-key hotel.

The area has been profiting from the tight Midtown market, which has an office vacancy rate of 4%, according to the most recent statistics from CB Richard Ellis. The vacancy rate in Midtown South has dropped from 5.7% a year ago to 4.3% now. The average asking rent in the area is up almost $10 to $43.04 per sf.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.