The Real Deal - New York Real Estate News

Brooklyn construction union boss convicted in bribery scheme

Posted: 28 Apr 2021 02:00 PM PDT

The former head of a Brooklyn construction union faces prison for trading membership cards for cash bribes. A federal jury on Wednesday convicted Salvatore Tagliaferro on charges of honest services wire fraud, conversion of union assets and conspiracy. He faces up to 30 years in prison on all charges, and is slated to be sentenced July 27. Tagliaferro served as the president of Local 926, a Brooklyn-based chapter of the New York City District Council

A FOMO market: Manhattan new development sees record activity

Posted: 28 Apr 2021 01:51 PM PDT

On a warm March afternoon, Compass broker Clayton Orrigo was zooming, quite literally, between appointments in the West Village on an electric scooter. “That’s the only way I can get around fast enough,” he said during a mid-ride phone call. Many Manhattan residential brokers echo the sentiment; they’ve never been busier. Demand has finally picked up, which means a hefty schedule of showings, fierce negotiations and hurried contract signings. Even bidding wars are back. It’s

Stonehenge Partners buys $135M UES rental building

Posted: 28 Apr 2021 12:34 PM PDT

Spring is here for New York City’s multifamily market, and the latest green shoot is a $135 million deal on the Upper East Side. Ofer Yardeni’s Stonehenge Partners has closed on the purchase of a 68-unit, white-brick apartment building at 920 Park Avenue, sources familiar with the sale told The Real Deal. The purchase price works out to nearly $2 million per unit for the 1960s-era building at the corner of East 80th Street, one

Construction tech firm OpenSpace lands $55M to map job sites

Posted: 28 Apr 2021 11:55 AM PDT

When the country went into lockdown last year, major construction sites deemed “essential” stayed open for business. OpenSpace, which maps construction sites and lets managers access images of those sites remotely, became a vital resource for some real estate firms. Now, the company has raised $55 million to accelerate its growth. The Series C was led by Alkeon Capital Management, with participation from Penny Pritzker’s PSP Partners, GreenPoint Partners and New World Development. Prior backers

Rockrose investment values Nomad office building at $235M

Posted: 28 Apr 2021 10:35 AM PDT

At least one developer is looking at the office market through rose-colored glasses. Rockrose Development purchased a 14 percent interest in a 218,000-square-foot office building at 11 East 26th Street in Nomad for $32.9 million. The investment values the pre-war building at $235 million, down only slightly from its pre-pandemic valuation of $246 million. The purchase gives Rockrose a 23.5 percent membership interest in the building, according to property records, which is a non-controlling share.

Lawsuits, interrupted: Judges nix business pandemic insurance claims

Posted: 28 Apr 2021 10:23 AM PDT

GreenStreet Cafe’s lunchtime rush had just ended on a recent afternoon, but the clamor of dishes in the kitchen hadn’t ceased. Business has finally picked up at the popular eatery in Miami’s Coconut Grove, known for its red velvet outdoor couches, a place where athletes and artists have dined over the past 30 years. Still, owner Sylvano Bignon is heated. A judge in March dismissed his lawsuit against GreenStreet’s insurers, which refused to pay for

Boston Properties to launch $2B joint venture

Posted: 28 Apr 2021 09:35 AM PDT

Boston Properties is making a $2 billion bet on the office market. Executives at the real estate investment trust announced during its first quarter earnings call that it will team up with two sovereign wealth funds to invest in office real estate. The investors, which the REIT said it would identify once the joint venture paperwork was finalized, will put in about $1 billion worth of equity, which will work out to about $2 billion

Mortgage applications resume decline after one-week surge

Posted: 28 Apr 2021 07:59 AM PDT

The number of mortgage applications is fluctuating but trending downward as buyers try to decide whether now’s the right time to purchase a home. After ticking up the previous week, the Mortgage Bankers Association index tracking requests for home-purchase loans fell 5 percent for the week ending April 23. “Activity is still above year-ago levels, but accelerating home-price growth and low inventory has led to a decline in purchase applications in four of the last

Ron Perelman publicly lists Upper East Side townhouse with price cut

Posted: 28 Apr 2021 07:41 AM PDT

Ron Perelman is taking his Upper East Side whisper listing public. The billionaire business has officially listed his townhouse at 36 East 63rd Street after months of quietly shopping the home, the New York Post reported. It’s coming onto the market with a price cut: The townhouse was previously asking $65 million, or could be purchased along with a smaller connected townhouse for $75 million. Now, the property is for sale on its own for

Higher profits brewing for prolific retail tenant Starbucks

Posted: 28 Apr 2021 07:09 AM PDT

As Starbucks attempts to reel customers away from their home-brewing habits, the company says it expects higher profits this year. It’s a welcome sign for owners of retail space. As sales plummeted last year, Starbucks shuttered 400 stores across the country. But now the coffeehouse chain’s business is growing again. The company said Tuesday that global same-store sales in its March-ended quarter increased 15 percent from the same period last year, the Wall Street Journal

Deutsche Bank eyes hybrid model while JPMorgan plans office return

Posted: 28 Apr 2021 06:27 AM PDT

More bad news for commercial landlords: Deutsche Bank is considering return-to-office plans that would make it one of the most flexible employers among large international banks. Under the proposal, employees would be able to work from home up to three days a week, Bloomberg News reported. The bank is also “moving to provide our employees some additional flexibility in hybrid working models,” Chief Financial Officer James von Moltke told Bloomberg Television Wednesday. Though location-specific plans

Tishman Speyer names Joseph Ritchie to lead diversity efforts

Posted: 28 Apr 2021 05:30 AM PDT

Joining a growing trend in the real estate industry, Tishman Speyer will soon have an executive whose focus is diversity and inclusion. Joseph Ritchie, the vice president of development at Brandywine Realty Trust, will start next month as Tishman Speyer’s managing director of business development and head of diversity and inclusion, the company announced. Rob Speyer, the president and CEO, called cultivating diversity at the firm and in the industry a priority. “Joe will have

Warburg Realty, Fortune International Realty team up

Posted: 28 Apr 2021 05:00 AM PDT

Two independent brokerages are joining forces to compete with national firms. New York City-based Warburg Realty and Miami-based Fortune International Realty recently announced a partnership to refer clients between their respective markets. The two family-owned and -operated firms are banding together to compete with larger brokerages, many of which have expanded into other markets in recent years, as well as increase their offerings to clients. The referral fee between the two firms will be between

Bill targets discrimination in home and commercial appraisals

Posted: 28 Apr 2021 04:00 AM PDT

A new congressional bill seeks to root out racial discrimination in the residential and commercial real estate appraisal industry. The measure, sponsored by Reps. Emanuel Cleaver II and Ritchie Torres, would create an interagency task force to study factors that lead to disparities in property valuations and lay out specific steps to combat them. The task force would examine federal collateral underwriting standards and guidance, as well as barriers to entry that disproportionately prevent minorities