RAGHSA pays $205M to Vornado for office building in Chelsea

RAGHSA Real Estate through the entity Property 512 West 22 LLC paid $205 million to Vornado Realty Trust through the entity 510 West 22nd Street Owner, LLC for the the office condominium units and the retail condo unit that make up the entire building at 510 West 22nd Street in Chelsea, Manhattan. The expected use is cash flowing.
The deal closed on August 14, 2025 and was recorded on August 19, 2025. The two units have 129,231 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $1,586 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 Vornado Realty Trust was Steven Borenstein . The signatory for RAGHSA Real Estate was Jodi Taylor Ehrlich . The contract date was May 13, 2025.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer RAGHSA Real Estate had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Vornado Realty Trust purchased four properties in two transactions for a total of $129.6 million and sold 15 properties in six transactions for a total of $1.6 billion over the same time period.

The property

The office and retail building in Chelsea has 129,231 square feet of built space according to a PincusCo analysis of city data.  The city-designated market value for the property in 2022 is $17.6 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have not received any significant violations in the last year.

Development

For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. 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 $1.5 billion in sales volume in the last two years. For development, Chelsea has 1.5 times the average amount of major developments relative to other neighborhoods and is the 21st highest in Manhattan. It had 2.1 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. There were three pre-foreclosure suit filed among other office buildings in the past 12 months.

The block

On the tax block of 510 West 22nd Street, PincusCo has identified the owners of eight of the 14 commercial properties representing 270,648 square feet of the 347,360 square feet. The largest owner is Michael Weinstein, followed by Erno Bodek and then Fortinet.
There are no active new building construction projects on this tax block.

The majority, or 45 percent of the 347,360 square feet of built space are industrial buildings, with retail buildings next occupying 33 percent of the space.

The seller

The PincusCo database currently indicates that Vornado Realty Trust owned at least 55 commercial properties with four residential units in New York City with 15,490,385 square feet and a city-determined market value of $7 billion. (Market value is typically about 50% of actual value.) The portfolio has $6.6 billion in debt, with top three lenders as JPMorgan Chase, Goldman Sachs, and Bank of China respectively. Within the portfolio, the bulk, or 78 percent of the 15,490,385 square feet of built space are office properties, with retail properties next occupying 12 percent of the space. The bulk, or 97 percent of the built space, is in Manhattan, with Bronx next at 3 percent of the space.

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