Cove Property as tenant inks lease valued at $45.9M with Hornig Capital for dev site in Hudson Yards

Cove Property as tenant-developer signed a lease for 413-419 Ninth Avenue (Credit: Google)

Cove Property Group through the entity Hudson Ninth Avenue Owner LLC as the tenant signed a 99-year lease with Hornig Capital Partners’s Ninth Avenue Ground LLC valued at $45.9 million for 413 Ninth Avenue, 415 Ninth Avenue, 419 Ninth Avenue, and air rights above 408 West 34th Street in Hudson Yards. The deal closed on October 20, 2020, and was recorded on November 6, 2020. The transaction consists of four parcels, including the tax class primarily five to six family with store or office (S5).

This lease is part of a three-level structure with three separate leases. The first lease was signed by Anthony and Suzanne Kissling as the fee owners who control three properties, and have a stake in air rights from a neighboring co-op at 408 West 34th Street. The Kisslings with Suzanne Kissling as signatory signed a 150-year lease with their tenant, an entity called RGS Ninth Avenue Realty LLC, whose signatory was Randy Modell of ABS Real Estate Partners. That transaction was valued at $20 million. That entity as tenant and also sublandlord, signed a 150-year lease with Daren Hornig’s Hornig Capital Partners as subtenant. That transaction was valued at $22 million. Hornig, in turn as subtenant and sub-sublandlord, signed a 99-year lease with Cove Property Group, as sub-subtenant. That last lease was valued at $45.9 million. The signatory for Cove was Kevin Hoo.
Daren Hornig has been working on assembling air rights and properties for this deal since at least 2008 when he signed an option to buy air rights from the co-op at 408 West 34th Street.

Direct link to Acris document. link
Direct link to the city’s interactive property map, ZOLA. link

Correction: An earlier version of this post misspelled Daren Hornig’s first name.

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