Sentry Realty, 60 Guilders pay $75.2M to Invesco for office in Garment District

Alen Mamrout’s Sentry Realty and 60 Guilders through the entity 1370B Investor LLC paid $75.2 million to Invesco through the entity Broadway Times Square, Inc for the office building (O6) at 1370 Broadway in Garment District, Manhattan.
The deal closed on January 16, 2025 and was recorded on January 22, 2025. The property has 234,846 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $320 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 22, 2014, for $186 million. The signatory for Invesco was Jaime Kelley. The signatory for Sentry Realty and 60 Guilders was Joseph Mamrout [more details]. The contract date was November 18, 2024. Newmark’s Adam Spies brokered the transaction, the Commercial Observer reported.

To finance the purchase, the buyers borrowed $45.5 million from Fortress Investment Group [more details].

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Sentry Realty purchased two properties in two transactions for a total of $290.5 million and has no record it sold any properties over the past 24 months.
The seller Invesco had not purchased any other properties and sold two properties in two transactions for a total of $127 million over the same time period. The 234,846-square-foot property generated revenue of $17.5 million or $75 per square foot, according to the most recent income and expense figures.

The property

The office building in Garment District has 234,846 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 105 feet and is 173 feet deep with a total lot size of 13,300 square feet. The lot is irregular. The zoning is C6-6 which allows for up to 15 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $91 million. The most recent loan totaled $75 million and was provided by Principal Real Estate Investors on June 28, 2024.

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 $9,775 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 Garment District, The majority, or 69 percent of the 52.3 million square feet of commercial built space are office buildings, with hotel buildings next occupying 13 percent of the space. In sales, Garment District has the 7th highest sale turnover among other neighborhoods in the city with $1.2 billion in sales volume in the last two years. For development, Garment District is the 5th most active neighborhood among other neighborhoods. It had 8.1 million square feet of commercial and multi-family construction under development in the last two years, which represents 15 percent of the neighborhood’s built space. There were four 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 seven of the 17 commercial properties representing 831,948 square feet of the 1,583,624 square feet. The largest owner is Empire State Realty Trust, followed by Sentry Realty and then Sioni Group.
On the tax block, there were two new building construction projects totaling 413,120 square feet. The largest is a 300-unit, 368,790 square-foot residential (R-2) building submitted by Sioni Group and filed by Jack Yadidi with plans filed December 15, 2021 and permitted January 9, 2024. The second largest is a 122-unit, 44,330 square-foot hotel/dormitory/shelter (R-1) building submitted by Dreygo Development and filed by Chris O’Connor with plans filed October 19, 2013 and permitted April 3, 2015.

The majority, or 92 percent of the 1.6 million square feet of built space are office buildings, with retail buildings next occupying 8 percent of the space.

The seller

The PincusCo database currently indicates that Invesco owned at least 42 commercial properties with 1,686 residential units in New York City with 2,197,185 square feet and a city-determined market value of $258.1 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 81 percent of the 2,197,185 square feet of built space are elevator properties, with office properties next occupying 19 percent of the space. The bulk, or 81 percent of the built space, is in Bronx, with Manhattan next at 19 percent of the space.

The buyer

The PincusCo database currently indicates that 60 Guilders owned at least seven commercial properties with 300 residential units in New York City with 1,183,855 square feet and a city-determined market value of $332.4 million. (Market value is typically about 50% of actual value.) The portfolio has $121 million in debt, borrowed from Athene Annuity And Life Company and Metropolitan Commercial Bank. Within the portfolio, the bulk, or 73 percent of the 1,183,855 square feet of built space are office properties, with elevator properties next occupying 27 percent of the space. The bulk, or 82 percent of the built space, is in Manhattan, with Brooklyn next at 18 percent of the space.
The PincusCo database currently indicates that Sentry Realty owned at least three commercial properties in New York City with 870,027 square feet and a city-determined market value of $261.1 million. (Market value is typically about 50% of actual value.) Within the portfolio, all identified are office properties. They are all located in Manhattan.

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