The Real Deal - New York Real Estate News

Ashkenazy takes over HFZ’s office at 600 Madison

Posted: 29 Apr 2021 05:08 PM PDT

From its swanky office at 600 Madison Avenue, HFZ Capital Group ran a New York development empire, orchestrating high-risk, high-reward ventures that included some of the city’s most prominent condominium projects. With that empire now in disarray and HFZ mired in lawsuits and debts, the developer is now moving out of that office, The Real Deal has learned. And moving in is another big real estate player, Ashkenazy Acquisition. Ashkenazy, led by Ben Ashkenazy, is

Landlords seek up to 5% rent hike on stabilized apartments

Posted: 29 Apr 2021 03:50 PM PDT

A landlord can dream, right? After a year of rent freezes, owners are calling for an increase of up to 5 percent on rent-stabilized apartments across the city. Landlords testified at the Rent Guidelines Board’s Thursday meeting that the hike was needed after years of minuscule increases that have not kept up with inflation, utility costs and property taxes. The Rent Stabilization Association, which represents 25,000 landlords, requested an increase of between 2 and 4

Empire State Building owner endures painful wait for tourists’ return

Posted: 29 Apr 2021 03:15 PM PDT

In addition to workers coming back to their desks, Empire State Realty Trust has another wish: the return of international tourists. The famed observation deck of its Empire State Building reopened in mid-July at limited capacity, but visitors have been few and far between. Admissions during the first quarter were about 9 percent of what they were during the comparable period in 2019, said Tony Malkin, chairman, president and CEO of the real estate investment

NYC Council passes Tenant Data Privacy Act

Posted: 29 Apr 2021 03:02 PM PDT

When tenants use keyless entry systems, whether returning from work or a walk with Fido, property owners usually get a piece of their data. Nothing stops landlords from using that data however they want, but a bill passed Thursday by the City Council will change that. The Tenant Data Privacy Act will prevent landlords from harassing or evicting tenants using data obtained through building entry systems. Property owners of multiple dwellings that use this technology

Harbor buys nearly 5,500-unit portfolio from Chetrit for $390M

Posted: 29 Apr 2021 02:24 PM PDT

UPDATED, 8 p.m., April 29: In one of the largest multifamily transactions of the year, the Chetrit Group sold a nearly 5,500-unit multifamily portfolio to Harbor Group International for $390 million, The Real Deal has learned. The apartments are in 56 communities across Florida, Indiana, Kentucky, Ohio and Pennsylvania. Harbor Group International, which is led by Jordan Slone, financed the purchase with a roughly $300 million loan from Freddie Mac, according to sources involved in

WATCH: Avra Jain on Miami development and “getting off the Beach”

Posted: 29 Apr 2021 01:35 PM PDT

Developer Avra Jain is “not afraid to go west.” The Vagabond Group founder spoke with The Real Deal’s Amir Korangy on the latest episode of Coffee Talk, sharing insights about what it means to be a developer and what’s next for Miami’s hottest neighborhoods. An early investor in now-trendy Wynwood, Jain is out amidst a zoning overhaul in the area. “When they change the zoning, they change the neighborhood,” she noted. “Now the big boys

Financial services firm takes 17K sf at One Vanderbilt

Posted: 29 Apr 2021 12:52 PM PDT

A financial services company is swapping one Midtown skyscraper for another. Nearwater Capital, which works with private equity firms, hedge funds and big banks, has signed a 17,300-square-foot, seven-year lease at SL Green’s One Vanderbilt. The firm will occupy part of the 33rd floor of the 58-story office tower. Deal terms were not disclosed, but asking rents at One Vanderbilt have ranged from $150 to north of $200 per square foot, according to the developer.

De Blasio and Cuomo clash over reopening the city

Posted: 29 Apr 2021 11:29 AM PDT

New York City will surely reopen. The question is when. Mayor Bill de Blasio announced Thursday that businesses will be able to reopen at full capacity July 1, bringing an end to lockdown restrictions that have been in place for more than a year now. “We are ready to bring New York City back fully on July 1, all systems go, because you’ve earned it,” de Blasio said. “This is going to be the summer

Paramount Group preps for $850M refinance

Posted: 29 Apr 2021 11:08 AM PDT

No tenants? No problem — at least, not yet. Paramount Group’s CEO Albert Behler shrugged off the company’s 500,000-square-foot vacancy at 1301 Sixth Avenue, which the office REIT has marketed for a year. Barclays left the space, which takes up a third of the building, at the end of 2020. “There is plenty of liquidity in the mezzanine debt market and no real distress,” said Behler. Paramount Group will develop an “amenities center” in the

Vanished attorney’s mother claims son forged her signature on loan docs

Posted: 29 Apr 2021 10:45 AM PDT

This has to be the worst Mother’s Day present ever. Real estate attorney Mitchell Kossoff allegedly forged his 94-year-old mother’s signature to take out more than $2 million in loans before he went AWOL earlier this month. Kossoff, who went radio-silent in early April when clients began asking about their escrow accounts, took out $2.6 million in August and January in merchant cash advances — essentially a kind of corporate payday loan where a firm

Retail landlords still suing over skipped rent

Posted: 29 Apr 2021 10:15 AM PDT

While businesses have been suing their insurers, commercial landlords have also been filing claims against tenants that have skipped rent, citing similar coronavirus losses. While no database tracks these cases, several recent rulings have gone against tenants. Movie theaters — one of the sectors the pandemic has pushed to the brink — have found little solace in the courts. In early April, a Regal Cinemas theater near Boca Raton, Florida, was ordered to pay $886,000

Pending home sales rebound

Posted: 29 Apr 2021 09:35 AM PDT

The number of homes buyers put into contract last month rose after recent declines. An index tracking pending homes sales increased 1.9 percent in March, according to the National Association of Realtors’ monthly index. The index jumped 23.3 percent year over year. The index had reported month-over-month declines for the past six months, but an end-of-year adjustment due to a lag in data reporting altered those results, a spokesperson said. After the revision, the index

Compass opens new office in booming North Carolina

Posted: 29 Apr 2021 08:30 AM PDT

Post-IPO, Compass is back to business as usual when it comes to expansions and acquisitions. The brokerage announced Thursday that it has opened a new office in Raleigh, North Carolina. This is Compass’ third push into a new market since going public earlier this month, following its expansions in Delaware and Tampa, Florida. Fifty-five agents have signed on and will serve the entire Research Triangle area, which includes Raleigh, Durham and Chapel Hill. The company

NY to end bar, restaurant curfew in May

Posted: 29 Apr 2021 07:45 AM PDT

Next month, New York bars and restaurants can finally stay up past curfew. The midnight curfew for restaurants that’s been in place in an effort to curb Covid-19 cases will end on May 17 for outdoor dining and May 31 for indoor dining, the New York Times reported. The changes come after months of backlash from the hospitality industry and declining cases of the virus. The state will also allow people to sit at bars

Landlords can now retroactively tap financing tool for energy improvements

Posted: 29 Apr 2021 07:29 AM PDT

New York City landlords and developers who borrowed money in the last three years for energy-saving improvements just got some good news. But they’ll have to wait to take advantage. Property owners can retroactively tap a new financing tool to secure a lower interest rate for work already done on projects like adding LED lights, upgrading insulation or installing solar panels on buildings. That’s according to new guidelines the city released last week on the

Realogy transactions soar 44% thanks to white-hot market

Posted: 29 Apr 2021 07:06 AM PDT

Last year, Realogy and other brokerages were bracing for a housing slowdown. It never came. On Thursday, the brokerage giant said transactions soared 44 percent during the first quarter of 2021, marking the third quarter of consecutive gains. The company reeled in $33 million in profits, compared to a staggering $462 million loss during the same period last year (which included a $447 million impairment charge). During a Thursday earnings call, CEO Ryan Schneider said

Developer David Walentas lists Hamptons mansion for $35M

Posted: 29 Apr 2021 06:30 AM PDT

What started as a weekend project turned into a more extensive undertaking for Two Trees Management founder David Walentas. The developer, who built up much of Brooklyn’s Dumbo neighborhood, recently listed a Southampton estate for $35 million after two years of renovations, the Wall Street Journal reported. Walentas bought the century-old home with his late wife Jane in 2019 for $11.6 million, intending to fix the place up and sell it once renovations were complete.

Does Andrew Yang’s housing plan make sense?

Posted: 29 Apr 2021 05:00 AM PDT

New Yorkers no longer have a choice: We have to take Andrew Yang seriously. The Democratic primary for mayor is less than two months away and he’s leading the polls as the eight identifiable candidates begin to invade our lives with TV ads. Yang is winning mostly because of name recognition. He’s famous for being famous. Voters have no idea what he does for a living or what his skills are, but he has a

Distress investing is dead. Long live distress investing

Posted: 29 Apr 2021 04:30 AM PDT

When Howard Marks’ Oaktree Capital set out to raise billions of dollars targeting troubled debt last spring, loan defaults seemed inevitable. Companies were teetering, people were hunkered inside and travel had come to a halt. “The firewood had been stacked,” Oaktree wrote in its presentation to investors. And the coronavirus was the lighter. Billions of dollars were raised at a record rate eyeing distress opportunities. Marks, whose memos are closely read by Warren Buffett, saw

What Biden’s first 100 days meant for real estate

Posted: 29 Apr 2021 04:00 AM PDT

President Joe Biden’s administration on Wednesday unveiled a $1.8 trillion spending plan that would eliminate a “special real estate tax break” for certain investors. The partial demise of that tax break, mentioned briefly as part of the American Families Plan, is just one of several policy initiatives affecting real estate that have started to take shape under Biden, some of which fulfill promises he made on the campaign trail. The president has already extended the