Hyundai pays $22.5M for Liberty Inn hotel in Meatpacking District
Hyundai Motor Group through the entity Hyundai Motor America paid $22.5 million to Edward Raboy and Richard Loring Moss through the entity Duanco Inc. for the Liberty Inn hotel building (H4) at 51 Tenth Avenue in Meatpacking District, Manhattan. This was the last hourly hotel in Manhattan, according to reports.
The deal closed on July 18, 2023 and was recorded on July 25, 2023. The property has 6,735 square feet of built space and 4,488 square feet of additional air rights for a total buildable of 11,220 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $3,340 and the price per buildable square foot is $2,005 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 Edward Raboy and Richard Loring Moss was Edward Raboy and Richard Loring Moss. The signatory for Hyundai Motor Group was Kyoungjin Min.
The New York Times reported the Liberty Inn was the last hourly hotel in Manhattan, in an article last year which said the sellers hoped to get $25 million, as the New York Post first reported. The Post said B6 Real Estate Advisors was marketing the building.
Prior sales and revenue
Prior to this transaction, PincusCo has records that the buyer Hyundai Motor Group purchased one property in one transactions for a total of $273.5 million and has no record it sold any properties over the past 24 months.
The seller Edward Raboy had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Edward Raboy, head officer and Yvonne Raboy, officer. The business entity is Duanco Inc.
The property
The hotel building in Meatpacking District has 6,735 square feet of built space and 4,488 square feet of additional air rights for a total buildable of 11,220 square feet according to a PincusCo analysis of city data. The parcel has frontage of 41 feet and is 107 feet deep with a total lot size of 2,244 square feet. The lot is irregular. The zoning is M1-5 which allows for up to 5 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $4.4 million.
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 one DOB violation and one housing litigation 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 Meatpacking District, The bulk, or 26 percent of the 2 million square feet of commercial built space are office buildings, with retail buildings next occupying 26 percent of the space. In sales, Meatpacking District has the 42nd highest sale turnover among other neighborhoods in Manhattan with $39.3 million in sales volume in the last two years. For development, Meatpacking District has had very little major development activity relative to other neighborhoods.It had -63 square feet of commercial and multi-family construction under development in the last two years, which represents 0.00 percent of the neighborhood’s built space.
The block
There are no active new building construction projects on this tax block.
All properties are hotel.
The buyer
The PincusCo database currently indicates that Hyundai Motor Group owned at least one commercial property in New York City with 97,814 square feet and a city-determined market value of $40.6 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single office property. It is located in Manhattan.
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