Holiday Inn Club Vacations pays $8.5M to Minex Corporation for two mixed-use buildings in Midtown East
Holiday Inn Club Vacations paid $8.5 million to Minex Corporation for three-unit mixed-use building at 123 East 47th Street in Midtown East, Manhattan and two-unit mixed-use building at 125 East 47th Street in Midtown East, Manhattan.
The deal closed on February 8, 2022 and was recorded on February 16, 2022.
The two properties have 7,677 square feet of built space and 19,529 square feet of additional air rights for a total buildable of 27,200 square feet according to PincusCo analysis of city data. The sale price per built square foot is $1,107 and the price per buildable square foot is $312 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 signatory for Minex Corporation was James Knowles. The signatory for Holiday Inn Club Vacations was Michael J. Thompson.
Prior to this transaction, the buyer Holiday Inn Club Vacations had not purchased any other properties and had not sold any properties over the past 24 months.
The seller Minex Corporation had not purchased any other properties and had not sold any properties over the same time period.
One of the projects were to change the number of residential units from 0 to 4.
In Midtown East, the majority, or 77 percent of the 65.7 million square feet of built space are office buildings, with residential elevator buildings next occupying 8 percent of the space. In sales, Midtown East has 4 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 10th highest in Manhattan. For development, Midtown East has 4 times the average amount of major developments relative to other neighborhoods and is the 4th highest in Manhattan. It had 3.6 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.
On the tax block, the majority, or 64 percent of the 887,831 square feet of built space are hotel buildings, with residential elevator buildings next occupying 34 percent of the space.
The former owners according to the Department of Housing Preservation and Development included James Knowles, head officer and Rajesh Nair, site manager. The business entities were Minex Corporation and Minex Corporation.
Within a 400-foot radius of 123 East 47th Street, PincusCo identified 16 commercial real estate items of interests occurred over the past 24 months.
Of those 16 items, one was in new building development. It was a new building permit issued on August 12, 2021 for a 151,836-square-foot R-2 building with 137 residential units at 135 East 47th Street.
Of those 16 items, two were for major renovation including a certificate of occupancy change. They were two permit applications with a total initial cost of $2.6 million. The most recent of these two items was the filing on February 8, 2022 for a 1,452,099-square-foot A-2 building with 0 residential units at 480 Lexington Avenue.
Of those 16 items, four were sales above $5 million totaling $371.4 million. The most recent of the four was C-III Capital Partners which bought the 314,568-square-foot, one-unit hotel (H1) on 509 Lexington Avenue for $173.5 million from DiamondRock Hospitality Company on July 9, 2021.
Of those 16 items, nine were loans above $5 million totaling $816.8 million. The most recent of the nine was USAA Real Estate which borrowed $128 million from PCCP secured by the 297,703-square-foot, 310-unit rental (D7) on 760 3rd Avenue on January 24, 2022.
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