Gramercy Enterprise, LLC
New York, New York
Project Completed
Project Sold October 2017 for $7,425,000
Partners
KEP Gramercy and Steelpoint Gramercy
Bank
Flushing Bank – $3,000,000
Property Information
Acquisition of a 4 story mixed-use building with a total of 3 residential units as well as one ground floor commercial unit in the Kips Bay neighborhood of Manhattan. Property is located on 2nd avenue between 28th street and 29th Street.
Joint Venture Buys 517 Second Avenue for $5.1M
A joint venture between The Kalikow Group and Ben Haghani and Misha Haghaniof Steelpoint Property Group has acquired the mixed-use property at 517 Second Avenuefrom Rana Associates for $5.1 million.
The four-story building features a ground-floor restaurant and vacant apartments on the second, third and fourth floors. A one-bedroom apartment in the building was last listed for rent for $3,678 per month, according to StreetEasy.
“We are excited by this building’s possibilities,” said Edward Kalikow, the president and chief executive of The Kalikow Group, in a prepared statement. “Our plans for 517 2nd Avenue are currently focused on the lease-up of the residential units. We are excited to be partnering with Ben and Misha, as their experience with Manhattan residential properties will help make this property shine.”
The building has approximately 10,000 square feet of air rights, according to GlobeSt.com, which first reported the sale. The buyer intends to renovate and lease the building’s apartment units, which are not rent-regulated, according to the report.
“Whether we want to work on developing the existing site or put together an assemblage, we can sit and evaluate our options while we’re making money on our investment. We will get about a 6 percent return,” Mr. Kalikow told GlobeSt.com.
Kalikow Buys Midtown East MF Building
NEW YORK CITY—The Kalikow Group—in a joint venture with Ben Haghani and Misha Haghani of Steelpoint Property Group—has acquired 517 2nd Ave. for $5.1 million from Rana Associates, GlobeSt.com has learned EXCLUSIVELY. The four-story, pre-war building features a ground floor restaurant and vacant apartments on the second, third and fourth floors.
The asset features a number of selling points—including its purchase price—that made it too good to pass up, Edward Kalikow, president and CEO of Kalikow Group, tells GlobeSt.com.
“The building has approximately 10,000 square feet of air rights, so whether we want to work on developing the existing site or put together an assemblage, we can sit and evaluate our options while we’re making money on our investment. We will get about a 6% return.”
Also, he continues, “The Kips Bay/Gramercy neighborhood is up and coming so it presented an opportunity to buy a property at a reasonable price. Instead of chasing a deal that’s valued at $700 to $800 per square foot, we’re paying about $350 per square foot.”
The building’s units are not rent regulated, so the new owners plan to renovate the vacant apartments and then put them on the market, Kalikow says. It sits in Manhattan’s Kips Bay/Gramercy neighborhood, close to major subway and bus lines, the FDR Drive, NYU Langone Medical Center and a variety of restaurants, lounges and retail venues.
