Adams & Company pays $20.2M for 16% stake in Garment District building, puts value at $124M

Owners affiliated with Adams & Company pays $20.2 million for a 16.375 percent stake in the Garment District building at 4 Bryant Park at 1071 Sixth Avenue in the Garment District in Manhattan, which valued the entire building at $123.6 million or $710 per built square foot. The sellers were two different groups of owners in the building which is owned by a handful of families under a tenant-in-common structure.

In the larger sale, Adams & Company through the entity Ac 4bp 2022 LLC paid $15.3 million to Laurie Kayden through the entity Sk/Hr 1071 Avenue Of The Americas, LLC for a 12.375 percent stake in the office building at 1071 Sixth Avenue in Garment District, Manhattan.
The deal closed on January 7, 2022 and was recorded on January 27, 2022. This is a stake formerly owned by Suzanne Kayden, who died in 2004. Laurie Kayden is her daughter.

The signatory for Laurie Kayden was Andrew J. Tunick. The signatory for Adams & Company was David Levy.

In the second transaction, Adams & Company through the entity Ac 4 Bp 2022 LLC paid $4.9 million to Equity Resource Investments through the entity 1954 Associates Limited Partnership for a 4 percent stake.

The deal closed on January 14, 2022 and was recorded on January 27, 2022.

The signatory for Equity Resource Investments was Mark S. Thompson. The signatory for Adams & Company was David Levy.

The 174,028-square-foot property generated revenue of $9.9 million or $57 per square foot, according to the most recent income and expense figures.

(120215114)The DOB issued a major alteration (A1) initial temporary certificate of occupancy for the building on July 10, 2014.

In the Garment District, the majority, or 69 percent of the 53 million square feet of built space are office buildings, with hotel buildings next occupying 12 percent of the space. In sales, Garment District has 4.1 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 9th highest in Manhattan. For development, Garment District has had very little major development activity relative to other neighborhoods.It had 561,900 square feet of commercial and multi-family construction under development in the last two years, which represents 1 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other office buildings in the past 12 months.
On the tax block, the majority, or 95 percent of the 3 million square feet of built space are office buildings, with hotel buildings next occupying 2 percent of the space.
Within a 400-foot radius of 1071 Avenue Of The Americas, PincusCo identified five commercial real estate items of interests occurred over the past 24 months.
One of those five items was a sale which Ben-Josef Group Holdings bought the 173,108-square-foot, 27-unit office building (O4) on 109 West 39th Street for $79.7 million from Princeton International Properties on August 6, 2021.
Of those five items, four were loans above $5 million totaling $685.9 million. The most recent of the four was ZG Capital Partners which borrowed $215 million from Bank of Montreal secured by the 362,850-square-foot, 150-unit office building (O4) on 1450 Broadway on August 31, 2021.

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