Waterman Interests, USAA Real Estate Sell NYC Towers for $138M
- Jun 05, 2019
Alduwaliya has acquired a two-building office portfolio in Manhattan’s Midtown West neighborhood in New York City, from a joint venture between Waterman Interests LLC and USAA Real Estate. A spokesperson for Waterman Interests told Commercial Property Executive that the price of the transaction was $138 million.
The two buildings in the portfolio consist of 142 W. 36th St. and 234 W. 39th St. The joint venture originally acquired the assets four years ago and embarked on a major capital improvement program that transformed both properties. The renovations helped bring both buildings to nearly 100 percent occupancy.
Located between Broadway and Seventh Avenue, the 142 W. 36th property is 119,000 square feet. At the time of the deal, the building was 94 percent leased to a tenant roster that includes Becca Cosmetics, a division of Estee Lauder Inc., Flashtalking Media and Elite SEM.
Located between Seventh and Eighth Avenues, the 92,000-square-foot 234 W. 39th Street building was 93 percent leased at the time of the deal. Its tenant roster currently consists of Rapid SOS, Sunlight Financial and Robert Marc Opticians.
On the rise
Cushman & Wakefield’s most recent Manhattan Marketbeat showed Manhattan overall posted its second-highest first quarter leasing total ever, with approximately 8.3 million square feet. Midtown West was one of the areas showing the biggest jumps.
Midtown West can be accessed by 16 different subway lines and 55 bus routes, so it’s a popular place. The buildings are both nearby Shake Shack, Urban Outfitters and the Moxy.
Cushman and Wakefield’s Adam Spies, Douglas Harmon, Kevin Donner, Adam Doneger and Avery Silverstein worked with Fried Frank’s Joshua Mermelstein, Avi Feinberg and Chris Roman in advising Waterman on the deal.
In April, a partnership between USAA Real Estate, Patrinely Group and CDC Houston sold the 378,402-square-foot HP Plaza in Spring, Texas.