Azora Exan pays $47.8M to Premier Equities for hotel in NoMad

Azora Exan through the entity 1141 Broadway Owner LLC paid $47.8 million to Premier Equities through the entity 1141 Realty Owner LLC for the hotel building (HB) at 1141 Broadway in NoMad, Manhattan, at the northwest corner of 26th Street.
The deal closed on June 5, 2024 and was recorded on June 21, 2024. The property has 30,966 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $1,544 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The seller bought the property on April 13, 2007, for $9 million. The signatory for Premier Equities was Yaron Jacobi. The contract date was January 25, 2024. Azora Exan is a joint venture between the Spain-based firm Azora and the Miami-based Exan Capital.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Azora Exan had purchased any other properties and sold one property in one transactions for a total of $45.5 million over the past 24 months.
The seller Premier Equities purchased one property in one transaction for a total of $27 million and sold two properties in two transactions for a total of $21.5 million over the same time period.

The property

The hotel building in NoMad has 30,966 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 96 feet deep with a total lot size of 3,074 square feet. The lot is irregular. The zoning is M1-6 which allows for up to 10 times floor area ratio (FAR) for manufacturing. The property is in the Madison Square North Historic District. The city-designated market value for the property in 2022 is $11.1 million. The most recent loan totaled $32 million and was provided by Israel Discount Bank on July 13, 2023.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received two DOB violations and $8,350 in OATH penalties in the last year.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The neighborhood

In NoMad, The majority, or 66 percent of the 12.8 million square feet of commercial built space are office buildings, with hotel buildings next occupying 15 percent of the space. In sales, NoMad has had very little sales volume relative to other neighborhoods with $223.8 million in sales volume in the last two years. For development, NoMad has 2.2 times the average amount of major developments relative to other neighborhoods and is the 15th highest in Manhattan. It had 2.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 18 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other hotel buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of 16 of the 33 commercial properties representing 1,217,763 square feet of the 1,924,865 square feet. The largest owner is Wisdom Global Realty New York Llc, followed by Singh Equities and then S.W. Management.
There are no active new building construction projects on this tax block.

The majority, or 69 percent of the 1.9 million square feet of built space are office buildings, with elevator buildings next occupying 25 percent of the space.

The seller

The PincusCo database currently indicates that Premier Equities owned at least nine commercial properties with 60 residential units in New York City with 121,590 square feet and a city-determined market value of $51.7 million. (Market value is typically about 50% of actual value.) The portfolio has $167.5 million in debt, with top three lenders as Signature Bank, Acadia Realty Trust, and Metropolitan Commercial Bank respectively. Within the portfolio, the bulk, or 40 percent of the 121,590 square feet of built space are hotel properties, with mixed-use properties next occupying 28 percent of the space. The bulk, or 80 percent of the built space, is in Manhattan, with Queens next at 20 percent of the space.

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