Madison Realty Capital acquires 753 Ninth Avenue through bankruptcy for $4.9M

Josh Zegen’s Madison Realty Capital acquired the Hell’s Kitchen property 753 Ninth Avenue with a credit bid as lender valued at $4.9 million in a bankruptcy auction held on December 10 and 15, 2020, according to a filing yesterday in Manhattan’s U.S. Bankruptcy Court.

The second-highest bidder was Buckingham Trading Partners, with a bid of $4.85 million, the filing said.

The property is a 12-unit, 10,650-square-foot mixed-use building just south of the corner of 51st Street. The Commercial Observer reported on the announcement for the auction in October 2020.

Madison Realty, through the entity 72nd Ninth LLC, in May 2015 acquired the debt on the building from Doral Bank that had an original principal of $4.6 million.

Madison in January 2016 filed to foreclose on the loan. In April 2019, the former owner put the property in bankruptcy.

As part of the sale process, the court filing notes fees will be paid to two brokerage firms: $60,000 to B6 Real Estate Advisors; and $24,500 to Rosewood Realty Group.