Developer El-Ad Properties spent $675 million on The Plaza in 2004, a purchase that hasn't exactly panned out for them. The building's condos sold out fast (after a $300 million renovation and conversion), but those sales were followed by equally quick lawsuits and complaints about building finishes, "attic-like" penthouses, and opulence that wasn't quite opulent enough. El-Ad never seemed fed up (and there have still been major deals), but it's not totally surprising that they're about to sell the place. India's Sahara Group is in "advanced, exclusive negotiations" to purchase the hotel, according to the Post. The price is around $600 million, $400M of that for the 100 condos and 130 hotel rooms, and the remaining $200M for the underground mall. The company has apparently already forked over a 10 percent down payment.
The flip attempts of Plaza residents are a frequent topic around here?often because they don't go well. The building's last three sales to close, according to StreetEasy, went for 5.1 percent, 22.6 percent, and 2.2 percent off of their (PriceChopped) asking prices. And there's a lot on offer in the building right now: StreetEasy shows 27 units on the market, from $1.285 million to $11.995 million (aver ask: $3,608/square foot). Several of them are already willing to take a loss from their last sale prices.
· Plaza sweet deal [NYP]
· The Plaza [StreetEasy]
· The Plaza coverage [Curbed]