Prime Group Holdings pays $40.1M to Winter Properties for parking in Chelsea, industrial in Hell’s Kitchen

Prime Group Holdings paid $40.1 million to Winter Properties for two storage locations, one in Chelsea near the intersection of 25th Street and 11th Avenue, and another 20 blocks north at the intersection of 45th Street and 11th Avenue in Hell’s Kitchen, in two transactions.

In the first, Prime Group Holdings through the entity Prime Storage Empire Capital 550 West Twenty-Fifth Street LLC paid $25.1 million to Winter Properties through the entity 550 West 25th Street Associates L.P. for the garage building (G1) at 550 West 25th Street in Chelsea, Manhattan.
The deal closed on July 24, 2025 and was recorded on July 30, 2025. The property has 34,562 square feet of built space and 51,843 square feet of additional air rights for a total buildable of 86,405 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $727 and the price per buildable square foot is $291 per the PincusCo analysis.

In the second, Prime Group Holdings through the entity Prime Storage Empire Capital 599 Eleventh Avenue, paid $15 million to Winter Properties through the entity 599 Eleventh Avenue Co., LLC for the industrial and commercial building (E1) at 599 Eleventh Avenue in Hell’s Kitchen, Manhattan.
The deal closed on July 24, 2025 and was recorded on July 30, 2025. The property has 64,250 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $233 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 Winter Properties was Zachary P. Novetsky . The signatory for Prime Group Holdings was Robert J. Moser . The contract date was June 24, 2025.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Prime Group Holdings purchased two properties in one transaction for a total of $49.5 million and has no record it sold any properties over the past 24 months.
The seller Winter Properties had not purchased any other properties and had not sold any properties over the same time period.

The property

The industrial building in Chelsea has 34,562 square feet of built space and 51,843 square feet of additional air rights for a total buildable of 86,405 square feet according to a PincusCo analysis of city data. The parcel has frontage of 175 feet and is 98 feet deep with a total lot size of 17,281 square feet. 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 $10.5 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 three DOB violations, $21,250 in ECB penalties, and $21,600 in OATH penalties 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 Chelsea, The bulk, or 35 percent of the 52.5 million square feet of commercial built space are office buildings, with elevator buildings next occupying 28 percent of the space. In sales, Chelsea has the 6th highest sale turnover among other neighborhoods in the city with $1.4 billion in sales volume in the last two years. For development, Chelsea has 1.4 times the average amount of major developments relative to other neighborhoods and is the 21st highest in Manhattan. It had 1.9 million square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of six of the 15 commercial properties representing 164,214 square feet of the 439,561 square feet. The largest owner is Feil Organization, followed by Gagosian and then Richard Rathe.
On the tax block, there was one new building construction project filed totaling 41,382 square feet. It is a five-unit, 41,382 square-foot residential (R-2) building submitted by Victor Group NYC and filed by Ran Korolik with plans filed September 9, 2014 and permitted June 2, 2015.

The majority, or 53 percent of the 439,561 square feet of built space are office buildings, with retail buildings next occupying 26 percent of the space.

The buyer

The PincusCo database currently indicates that Prime Group Holdings owned at least 15 commercial properties in New York City with 907,460 square feet and a city-determined market value of $157 million. (Market value is typically about 50% of actual value.) The portfolio has $266.1 million in debt, with top three lenders as Slate Asset Management, Citibank, and JPMorgan Chase respectively. Within the portfolio, the bulk, or 82 percent of the 907,460 square feet of built space are industrial properties, with office properties next occupying 9 percent of the space. The bulk, or 34 percent of the built space, is in Manhattan, with Queens next at 31 percent of the space.

Direct link to 550 West 25th Street Acris document. link
Direct link to 599 Eleventh Avenue Acris document. link