Four rental buildings scattered throughout Manhattan sold to condo-converting developer Ziel Feldman of HFZ Capital for more than $600 million, according to the Journal. The buildings have around 750 units total, and some, if not all, will likely be headed for condo conversions. But since the buildings are located in less areas with less insane real estate prices than say Midtown or the Upper East Side, the condos probably wouldn't be nosebleed prices. "People are only building in the hyper-luxury market," said a broker who tracks the luxury market. "There is a gap in the market for lower-priced condos." You don't say.
The buildings are the following:
· The Astor, 235 West 75th Street (at Broadway), built in 1901, 12 stories, 212 units
· 88 Lexington Avenue (at East 26th Street), built in 1927, 17 stories, 180 units
· LexLofts, 90 Lexington Avenue, built as offices in 1959, converted to apartments in the 1970s, 10 stories, 107 units
· The Metro, 301 West 53rd Street (at Eighth Avenue), built in 1979, 25 stories, 264 units
Feldman said he hadn't decided if he'll keep the buildings rental, but he did tell the Journal that conversions make more sense for building condos with "more approachable prices" because the cost of land for new developments is just too high.
· Developer Sets Deal to Buy 4 Manhattan Buildings [WSJ]
· All HFZ Capital coverage [Curbed]
Photo of the Astor via StreetEasy