Cushman & Wakefield announced today that the real estate services firm has arranged the sale of two mixed-use buildings bordering Madison Square Park in Manhattan. The properties sold in two separate transactions. One of the two properties is a mixed-used apartment and retail building located on the southeast corner of Madison Square Park at 18 East 23rd Street. This building totals 9,400 sf and sold for $13,500,000. The second property is a multi-tenanted commercial office and retail building located just north of Madison Square Park at 224 Fifth Avenue. This six-story building totals 15,949 sf, and sold for $21,000,000.
A Cushman & Wakefield team of John Ciraulo, Vice Chairman and Craig Waggner, Director represented the sellers in both transactions and Steve Kim of Kingstone Realty represented the buyer for 18 East 23rd Street.
“The properties’ excellent locations adjacent to Madison Square Park in the NoMad/Flatiron District made these attractive opportunities for investors looking to purchase mixed-use assets in this extremely popular neighborhood. Both properties were highly sought after and contested as we received several competitive offers,” said Vice Chairman, John Ciraulo. “Along with its strong retail presence and ideal location, the property at East 23rd Street had 100% occupancy, making it particularly appealing.”
Craig Waggner added, “224 Fifth Avenue presented an incredible investment opportunity not only because of its location and current tenancy, which had many short-term, below market leases coupled with some vacancy, but also because of its redevelopment potential. If ever vacated and with landmarks approval, the property could be redeveloped into luxury condos overlooking Madison Square Park.”
Built circa 1900, 18 East 23rd Street is a five-story, mixed-use apartment building that contains 16 free market studio apartments and a restaurant on the ground floor. The retail space is leased to the creative salad eatery CHOP’T for four more years with an option. The property is located on the south side of East 23rd Street between Broadway and Park Avenue South in the heart of the Flatiron District, and underwent a major renovation in 1988 with additional renovations made in 2011.
Originally built mid-19th century and significantly altered in 1980, 224 Fifth Avenue is a six-story multi-tenanted commercial office and retail building located between West 26th and 27th Streets. The building has floor plates that range from 2,600 to 2,827 rsf, and it is currently leased to three office tenants and one retail tenant, 7-Eleven.
This Flatiron / Madison Square Park neighborhood is a highly desirable neighborhood that has grown to include some of the city’s most popular restaurants, has a dynamic retail environment and holds a world-class residential community. In addition, the area is highly accessible via public transit, as it is in close proximity to the N,R,F,M,6 and 1 subway stations, as well as the New Jersey PATH train and multiple bus lines.
About Cushman & Wakefield
Cushman & Wakefield is a leading global real estate services firm with 45,000 employees in more than 70 countries helping occupiers and investors optimize the value of their real estate. Cushman & Wakefield is among the largest commercial real estate services firms with revenue of $6 billion across core services of agency leasing, asset services, capital markets, facility services (C&W Services), global occupier services, investment & asset management (DTZ Investors), project & development services, tenant representation, and valuation & advisory. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.
