Sioni Group revises Penn Plaza hotel-to-residential conversion with 625 units
371 Seventh Avenue (Credit - Google)
Jack Yadidi, owner of Sioni Group submitted a major alteration application for a conversion of the shuttered Stewart Hotel building at 371 Seventh Avenue in Penn Plaza, Manhattan into a residential apartment building with 625 units. The plan was filed with the New York City Department of Buildings on December 5, 2024 under job number M01141450. It calls for the conversion of the 31-story, 473,391-square-foot building. The project is described in the filing as: propose to convert existing hotel use group V to II for residential use per Multiple Dwelling Law article 7B with general construction per plan. Obtain a new certificate of occupancy.
Sioni Group and Isaac Chetrit paid $212.5 million for the hotel and a small adjacent property, on December 20, 2016.
This project supersedes an earlier conversion plan, M08018966, filed in 2022, which was withdrawn. The building has six rent-regulated tenants who pay between $753 per month and $1,296 per month in rent for one-room apartments.
Sioni Group is building a 300-unit, ground up apartment project a few blocks away, at 100 West 37th Street, with the plans filed in December 2021.
| wdt_ID | floor | comment | description | persons_permitted | occupancy_label | zoning_use | dwelling_units |
|---|---|---|---|---|---|---|---|
| 1 | Sub-Cellar - 2 | ||||||
| 2 | Sub-Cellar - 1 | ||||||
| 3 | Sub-Cellar - 1 | ||||||
| 4 | Cellar | ||||||
| 5 | 1 | ACCESSORY RESIDENTIAL TENANT STORAGE | Storage of non combustible Materials | 11 | Storage | ||
| 6 | 1 | RESIDENTIAL LOBBY, MAIL ROOM, PACKAGE ROOM | Apartment | N/A | Residential | ||
| 7 | 1 | ||||||
| 8 | 1 | ||||||
| 9 | 1 | ||||||
| 10 | Mezzanine - 1 |
The property
The hotel building with 529 residential units in Penn Plaza has 473,391 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 88 feet and is 200 feet deep with a total lot size of 19,011 square feet. The lot is irregular. The zoning is C6-4 which allows for up to 10 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 $93.9 million.
Prior sales and revenue
Development
For the tax lot building, it received its initial certificate of occupancy on August 2, 2012.
Violations and lawsuits
According to city public data, the property has received $1,250 in ECB penalties and $56,950 in OATH penalties in the last year.
There were no lawsuits or bankruptcies filed against the property for the past 24 months.
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 near average sales volume among other neighborhoods with $294.3 million in sales volume in the last two years and is the 25th highest in Manhattan. For development, Penn Plaza has near average amount of major developments among other neighborhoods and is the 19th 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 10 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of four of the 14 commercial properties representing 672,992 square feet of the 1,513,826 square feet. The largest owner is Feil Organization, followed by Justin Management and then Mack Real Estate Group. There are no active new building construction projects on this tax block.
The owner
The owners according to the Department of Housing Preservation and Development includes Ray Yadidi, head officer and Isaak Chetrit, shareholder. The business entities are Stewart Hotel and Cyh Manhattan Llc.
The surrounding
Within a 400-foot radius of 377 7 Avenue, PincusCo identified one commercial real estate item of interests occurred over the past 24 months. It was a loan which Paul Wasserman borrowed $6.5 million from Apple Bank for Savings secured by the 7,424-square-foot, four-unit retail building (K9) on 356 7th Avenue and two other properties on November 20, 2023.
Direct link to the property’s ACRIS page and link to DOB NOW portal.