Dermot Company pays $370M to DTH Capital for FiDi rental

Dermot Company through the entity 20 Exchange Place Owner, LLC paid $370 million to DTH Capital, a joint venture of Eastbridge Group, and AG Real Estate through the entity Rbnb 20 Owner LLC, for the 767-unit 20 Exchange Place in the Financial District, Manhattan. The expected use is cash flowing.
The deal closed on July 31, 2024 and was recorded on August 19, 2024. The building has 776,000 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $476 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 property is divided into three commercial condominium units, an approximately 350-unit rental condo units, an approximately 412-unit rental condo and a retail condo.
The signatory for DTH Capital, Eastbridge Group, and AG Real Estate was Jason Beren, CEO of Eastbridge Group. The signatory for Dermot Company was Andrew Levison. The contract date was February 9, 2024. Crain’s reported the seller as DTH Capital. The Real Deal reported that DTH is a joint venture of the Bruckner family’s Eastbridge Group, and a firm called AG Real Estate, a unit of Ageas SA.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 20 Exchange Place.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Dermot Company purchased two properties in two transactions for a total of $135.4 million and has no record it sold any properties over the past 24 months.
The seller DTH Capital had not purchased any other properties and had not sold any properties over the same time period.

The property

The rental condo with 350 residential units in Financial District has 776,000 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 486,978 square feet. The property has a 421G exemption that started in 2010 and expires in 2023. The city-designated market value for the property in 2022 is $111.4 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have not received any significant violations in the last year.

The block

There are no active new building construction projects on this tax block.

All properties are elevator.

The buyer

The PincusCo database currently indicates that Dermot Company owned at least seven commercial properties with 1,810 residential units in New York City with 1,926,416 square feet and a city-determined market value of $475.3 million. (Market value is typically about 50% of actual value.) The portfolio has $792.6 million in debt, with top three lenders as Forethought Life Insurance Company, Helaba, and Signature Bank respectively. Within the portfolio, all identified are elevator properties. The bulk, or 63 percent of the built space, is in Manhattan, with Brooklyn next at 37 percent of the space.

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