Midtown Manhattan Office Asset Changes Hands in $83M Deal

The new owner plans a complete makeover in order to attract tenants from the fast-growing technology, advertising, media and information sectors.

By Mihaela Coste

250 W. 54th St., New York
250 W. 54th St., New York

New York—NGKF recently announced that it has closed the sale of 250 W. 54th St., a 145,170-square-foot loft office building in Midtown Manhattan. Zar Property NY LLC acquired the asset from Ascot Properties LP for $83.1 million. According to Yardi Matrix data, the sale was subject to a five-year loan in the amount of $58 million, held by Signature Bank.

The seller was represented by Paul Davidson and Roy Lapidus, senior managing directors of NGKF, along with NGKF Capital Markets Managing Director Chip Porter.

Located between Broadway and Eight Avenue on a 0.3-acre site, 250 W. 54th St. was built in 1911 and underwent cosmetic renovations in 2009. The 13-story Class B property features high ceilings, a load factor of 27 percent and is situated within walking distance of four metro stations, being easily accessible.

The new owner intends to push rents of the multi-tenant asset by implementing a creative office remake plan in order to attract not only the neighborhood’s traditional tenant base, but also those in Manhattan’s fast-growing technology, advertising, media and information sector. The property encompasses approximately 10,000 square feet of retail space, currently occupied by Subway, 54 Gourmet and Vandoren.

“The building is uniquely located just steps from Broadway, Columbus Circle and Central Park,” said Davidson in a prepared statement. “Its 11- to 15-foot ceiling heights, classic copper façade and exposed brick interiors present the new owners with the opportunity to create a highly-flexible creative loft office experience in a location with tremendous transit access.”

Image courtesy of Yardi Matrix