Anbau Snaps Up $19M Manhattan Parcel for Condo Project

While the condominium market is pretty much in freefall in most metropolitan cities, it continues to experience relatively significant demand in New York City, and Anbau Enterprises Inc. plans to take advantage of the positive climate now that it has acquired a 55,000-square-foot parcel at 124 West 23rd St. in Manhattan for $19 million.The New York-based developer was able to obtain an acquisition and construction loan from the Bank of New York Mellon in what has become one of the most unfriendly lending markets the country has ever experienced. Plans call for the erection of a 16-story luxury condominium tower on the site. Market prices in Manhattan for similar condos in the area are well above $1000 per square foot.BKSK Architects has been tapped to design the tower, which will feature 34 residences and about 4,000 square feet of Class A ground-level retail space. Additionally, Anbau–well known as a highly environmentally conscious developer–will develop the upscale property to adhere to sustainable design principles that exceed the LEED certification standards.Going upscale appears to be a safe path, as the luxury segment of Manhattan’s condominium market is faring particularly well. In the second quarter of this year, inventory declined 35 percent from the second quarter of 2007, and listing discounts decreased from 2.3 percent to 2 percent for the same period, according to a report by Prudential Douglas Elliman Real Estate.Anbau’s acquisition of the 124 West 23rd St. parcel for its new project comes just a few months after the company completed the development of Harsen House, a 16-story, 17-unit condominium building at 120 West 72nd St. Anbau secured mezzanine financing from GoldenTree InSite Partners for the $52 million project in 2006.