Savanna, Feil’s $137M JV in Midtown NYC
- Oct 12, 2011
October 12, 2011
By Nicholas Ziegler, News Editor
Once again, we’re seeing big deals in New York City through joint ventures. Earlier this month, SL Green Realty Corp. and Stonebridge Partners joined forces for eight retail and multi-family properties in the city, and now Savanna and the Feil Organization have together acquired the 375,000-square-foot building known as 21 Penn Plaza.
The office tower, also known by the address of 360 W. 31st St., is a 17-story building that was purchased for $137 million from GHG Realty, which had owned the property since the mid-1980s. It is currently 95 percent occupied to tenants including Saks & Co., Central Parking and Langan Engineering.
“While the property is currently 95 percent occupied, the anticipated roll over the next five years and the emergence of the West Side of Manhattan as an exciting hub for business, retail and transport made this a compelling investment for Savanna and Feil,” Christopher Schlank, a managing partner with Savanna, said.
And he’s right about the preeminence of Manhattan business. According to a market report released yesterday by CB Richard Ellis Group Inc., September was a great month for office leasing. Following two consecutive months of below-average activity, the sector recorded 1.3 million square feet, topping its five-year monthly average of 1.18 million.