Premier Equities pays $31.6M to Haddad Brands for office in Penn Plaza

Premier Equities through the entity Premier 1220 Broadway, LLC paid $31.6 million to Haddad Brands through the entity New Generation Realty LLC for the office building (O6) at 1220 Broadway in Penn Plaza, Manhattan. The expected use is cash flowing.
The deal closed on February 2, 2026 and was recorded on February 9, 2026. The property has 75,547 square feet of built space and 14,932 square feet of additional air rights for a total buildable of 90,500 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $418 and the price per buildable square foot is $349 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 seller bought the property on April 30, 2013, for $1.8 million. The signatory for Haddad Brands was Michael Haddad . The signatory for Premier Equities was Mark D. Mermel . The contract date was January 14, 2025.

Prior sales, articles and revenue

Prior to this transaction, PincusCo has records that the buyer Premier Equities purchased four properties in four transactions for a total of $68.8 million and sold five properties in five transactions for a total of $98 million over the past 24 months.
The seller Haddad Brands purchased one property in one transaction for a total of $357 million and had not sold any properties over the same time period. The 75,547-square-foot property generated revenue of $3.6 million or $48 per square foot, according to the most recent income and expense figures.

The property

The office building in Penn Plaza has 75,547 square feet of built space and 14,932 square feet of additional air rights for a total buildable of 90,500 square feet according to a PincusCo analysis of city data. The parcel has frontage of 105 feet and is 111 feet deep with a total lot size of 9,050 square feet. The lot is irregular. The zoning is M1-6 which allows for up to 10 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $18.8 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 not received any significant violations 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 Penn Plaza, The majority, or 76 percent of the 20.4 million square feet of commercial built space are office buildings, with hotel buildings next occupying 8 percent of the space. In sales, Penn Plaza has 1.3 times the average sales volume among other neighborhoods with $417.7 million in sales volume in the last two years and is the 27th highest in Manhattan. For development, Penn Plaza has 2.4 times the average amount of major developments relative to other neighborhoods and is the 10th highest in Manhattan. It had 3.7 million square feet of commercial and multi-family construction under development in the last two years, which represents 18 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other office buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of nine of the 23 commercial properties representing 570,533 square feet of the 1,121,454 square feet. The largest owner is GDS Development, followed by McSam Hotel Group and then Jan Soleimaini.
On the tax block, there were two new building construction projects totaling 209,617 square feet. The largest is a 140,834 square-foot business (B) building submitted by GDSNY and filed by Michael Kirchmann with plans filed August 7, 2018 and permitted February 13, 2019. The second largest is a 182-unit, 68,783 square-foot hotel/dormitory/shelter (R-1) building submitted by McSam Hotel Group and filed by Sam Chang with plans filed February 11, 2014 and permitted January 11, 2019.

The majority, or 65 percent of the 1.1 million square feet of built space are office buildings, with hotel buildings next occupying 32 percent of the space.

The seller

The PincusCo database currently indicates that Haddad Brands owned at least two commercial properties in New York City with 909,462 square feet and a city-determined market value of $271 million. (Market value is typically about 50% of actual value.) The portfolio has $31 million in debt, borrowed from JPMorgan Chase. Within the portfolio, all identified are office properties. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that Premier Equities owned at least 10 commercial properties with 60 residential units in New York City with 122,089 square feet and a city-determined market value of $55.7 million. (Market value is typically about 50% of actual value.) The portfolio has $147.6 million in debt, with top three lenders as Signature Bank, Acadia Realty Trust, and Metropolitan Commercial Bank respectively. Within the portfolio, the bulk, or 47 percent of the 122,089 square feet of built space are mixed-use properties, with walkup properties next occupying 19 percent of the space. The bulk, or 80 percent of the built space, is in Manhattan, with Queens next at 20 percent of the space.

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