NEW YORK CITY—APF Properties has bought outPrudential Real Estate Investors for full controlof the Club Row Building at 28 W. 44th St. Theinvestment firm has increased its stake from 20% to 100% in a dealthat values the Midtown office and retail property at $235million.

After learning that PREI intended to monetize its investment inthe 95-year-old Club Row Building, “We could have easily exited theasset now along with our partner and reaped a substantial immediateprofit,” says APF principal Kenneth Aschendorf.“However, we see a 'Part II' to this investment where we cancapitalize on the transformation that has been completed.” APF andequity partner PREI paid $161 million to acquire the property in2011 from SL Green Realty Corp.

The initial course of action was to replace PREI in theownership. However, Aschendorf says, “Instead of going for thequick profit, we decided to step up in a big way and substantiallyincrease our own personal investment in the building and buy outPrudential in a transaction that greatly benefits all parties.”