East Midtown, a favorite spot for Hedge funds and small financial firmsSoon there will be a coveted new place for them.
After serving as Santander’s New York headquarters since 1991, the 134,000-square-foot boutique office tower at 45 E. 53rd St. is eventually to be made available to other tenants.
RealtyCheck has learned that a joint venture between ZG Capital and Rialto Capital Management quietly signed a contract last week on an off-market deal to buy the tower for $105 million. The seller was Florida-based MEK Management Services. The deal will close in 30 days.
The new owners plan a $60 million-$80 million capital upgrade to modernize the soon-to-be-vacated, 20-story Jewel and create new tenant facilities.
Newmark’s Jordan Rochclub and Dustin Stoley arranged and structured the equity joint venture and are arranging financing.
Santander has used the property as its New York headquarters since it was built in 1991. It sold it to MEK in 2012 but gave it back on net-lease. The Spanish bank exercised its option to leave earlier this year and plans to consolidate its location at 437 Madison Avenue in the fall.
The new owners of 45 E. 53rd St. are planning to attract boutique financial services firms seeking full-floor presence in First Class Plaza District locations.
ZG Capital is a partnership of Bobby Zar and James Tamborlane. They recently purchased the Bruckner Building office property in the Bronx. The 45 E. 53d St. purchase is New York City’s first acquisition for the Rialto, which is run by Jay Mentz and Jeff Krasnoff.
The tower stands adjacent to the landmark Lever House, which is undergoing a $100 million redevelopment of its own,
Park Tower Group, owner of 535 Madison Avenue, is proud that the 39,315-square-foot multiple lease extension has brought the 37-story tower to full occupancy. Extended tenants are Bain Capital NY, FTV Management Company and Garda Capital Partners.
But he’s happy to report that the 480,000-square-foot multi-tenant property has 94% physical occupancy based on the number of daily workers—more than double Manhattan’s average of less than 40%, as the city continues to grow. inches behind the pandemic,
Park Tower Group President Marion Klein said 535 Madison is “a destination where people want to come to work,” thanks to its modern technology, top-tier amenities, public art, and proximity to Grand Central Terminal.
Through a partnership between Park Tower and Christie’s auction house, the building houses Christie’s Sculpture Garden exhibition space in the outdoor public plaza and indoor lobby.
The Durst Organization’s sprawling, 71-story apartment skyscraper in Long Island City, Sven, will soon have plenty of wine to go along with its ideas.
Queens-based Finback Brewery signed a lease for 3,800 square feet — its third downtown location — to open later this year. According to its promotion, the new Finback taproom will “explore the further fermentation of fruit that is conditioned in a wooden fodder and ceramic croque.” Foeders, lest you forget, have huge barrels.
Finback co-owner Basil Lee said he is excited to showcase his mixed-fermentation sour ales that highlight the fruits and ingredients of New York.
The development company’s president, Jody Durst, said Finback “would be a great addition to a neighborhood that’s one of the city’s premier dining destinations.”
Durst recently announced a new green space called Sven Park, which will offer residents and the public a range of outdoor amenities.
Sven’s 958 rental units include 288 that are income-restricted. The project includes a historic, 1927 clock tower structure that Durst is restoring and converting for modern retail use.