NEW YORK CITY — CBRE has arranged a 15,379-square-foot office lease renewal in Midtown Manhattan. The tenant, Kenneth Park Architects, will continue to occupy the entire seventh floor at 360 Lexington Avenue, a 24-story, 268,383-square-foot building. Steve Eynon of CBRE represented the tenant in the lease negotiations. Locally based investment firm Savanna owns the building.
NEW YORK CITY AND DALLAS — HBC, the New York City-based parent company of Saks Fifth Avenue, has agreed to acquire Dallas-based Neiman Marcus Group. The merger between the two luxury fashion retailers is valued at $2.6 billion. An estimated closing date was not released. Following the acquisition, HBC will establish Saks Global, an entity that will combine the intellectual property and real estate assets of the two companies. Brands that are already owned by HBC or Neiman Marcus, including Saks OFF 5th, Bergdorf Goodman and Last Call Outlet, will continue operations under their original names. HBC will fund the purchase through a combination of equity from new and existing shareholders. Notably, both Amazon and Salesforce will be shareholders in the new company upon closing, with the Seattle-based e-commerce giant also expected to take on a consultative role. According to CNN, the two companies have been discussing a merger for several years. The Atlanta-based news network also reports that Saks currently operates 39 stores, while Neiman Marcus, which filed for Chapter 11 bankruptcy in 2020, operates 36 stores. “For years, many in the industry have anticipated this transaction and the benefits it would drive for customers, partners and employees,” says …
NEW YORK CITY — A partnership between locally based developer BFC Partners, CB Emmanuel, nonprofit organization Catholic Homes, Pinnacle City Living and the New York City Housing Authority (NYHCA) has received $332.3 million in financing for the redevelopment of West Brighton I and II on Staten Island. The project, which is being carried out through the NYHCA’s Permanent Affordability Commitment Together (PACT) program will rehabilitate 574 affordable housing units that are home to more than 1,300 residents. The development team will also reactivate 24 vacant units, with 12 restored as permanently affordable residential units and 12 converted into a new senior center. The financing consists of a combination of debt provided by Freddie Mac and the New York City Housing Development Corp. (HDC), as well as a bridge loan provided by Wells Fargo, historic tax credits, city subsidies and sponsor equity. Buildings will receive both interior and exterior renovations, including façade restorations, roof repairs, new security systems, ventilation improvements and refurnished heating and water systems. In addition, the partnership will undertake comprehensive upgrades to the bathrooms and kitchens with new appliances, fixtures and countertops. Lastly, the grounds will be revitalized with new landscaping, lighting, play equipment, seating, walkways and community …
NEW YORK CITY — A partnership between locally based firm Douglaston Development, Asland Capital Partners, nonprofit organization Breaking Ground and the New York City Housing Authority (NYHCA) will undertake a $275 million renovation of Sack Wern Houses in The Bronx. The seven-building affordable housing property is located in the borough’s Soundview neighborhood and is home to more than 800 residents. The rehabilitation, which is being carried out through the NYHCA’s Permanent Affordability Commitment Together (PACT) program, will cover more than 400 apartments, as well as common areas and building infrastructure and utility systems. All apartments will receive new doors, closets, windows and paint, as well as comprehensive upgrades to bathrooms and kitchens, including new appliances, fixtures, countertops, cabinets, lighting, flooring and showers. Sack Wern buildings will also receive sustainable heat pump technology, façade repairs, ventilation improvements, roof replacements, new solar panels and new security installations such as cameras and improved lighting. Additionally, common areas — entrances, lobbies, mail areas, hallways, stairways, laundry rooms and the community room — will be fully renovated. Lastly, development grounds will be revitalized with new landscaping, children’s play equipment and seating, as well as repaved walkways, more accessible ramps and stairs and an upgraded basketball …
NEW YORK CITY — TYKO Capital, a locally based real estate private equity firm, has provided a $140 million construction loan for a 348-unit multifamily project in Brooklyn. The site at 310 Nevins St. is located in the Gowanus neighborhood. Designed by Fogarty Finger Architects, the project will be a sister building of the 320-unit property at 340 Nevins St. Both properties will feature a mix of floor plans and Class A amenities, as well as a 25 percent affordable housing component for renters earning 60 percent or less of the area median income. Jordan Roeschlaub, Chris Kramer and Michael Dorfman of Newmark arranged the loan on behalf of the borrower, a partnership between Tavros Holdings and Charney Cos. Completion is slated for mid-2027.
NEW YORK CITY — Vornado Realty Trust has completed the Plaza33 project in Midtown Manhattan. Plaza33 is the centerpiece of a $65 million development by Vornado to make the streetscape around Penn Station greener and more pedestrian friendly. The project introduced 16,000 square feet of reclaimed public space, replete with new landscaping, seating and transit mechanisms, as well as spaces for new food-and-beverage operators.
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Bob’s Stores to Close All 21 Remaining Locations After 70 Years in Business
MERIDEN, CONN. — Bob’s Stores is closing all locations and liquidating its inventory as part of the Chapter 11 bankruptcy restructuring petition filed on June 18. The Meriden-based clothing retailer, which is a subsidiary of GoDigital Media Group, was unable to secure the financing needed to maintain operations. Bob’s began going-out-of-business sales in stores on June 28 with discounts of 30 to 70 percent off merchandise. Hilco Merchant Resources, in a joint venture with Gordon Brothers, is managing the liquidation event that includes all 21 remaining stores throughout Connecticut, Massachusetts, New Hampshire, New Jersey, New York and Rhode Island. Shoppers will find discounts on workwear, footwear, team wear and everyday clothing. Select store fixtures, furniture and equipment will also be available for sale. All sales are final, and the event runs through July 14. “We regret that our financial position necessitated the liquidation of Bob’s Stores,” says Dave Barton, president. “Bob’s has been a stalwart of our local communities for nearly 70 years.” Bob’s began as a single-store surplus outlet in Connecticut in 1954. The chain grew to roughly three dozen locations at its peak. CNBC reports that Bob’s entered a period of financial turmoil at the beginning of this century that eventually amounted …
NEW YORK CITY — BHI, a full-service commercial bank that is the U.S. division of Israel’s Bank Hapoalim, has provided a $95 million construction loan for a 226-unit multifamily project in Brooklyn. The site at 2359 Bedford Ave. is located in the Flatbush neighborhood, and the development will house 72 studios, 86 one-bedroom units and 68 two-bedroom units, as well as 23,000 square feet of commercial and storage space. Thirty percent of residences will be set aside as affordable housing. Specific income restrictions on those units were not disclosed. A tentative completion date was also not disclosed. The borrower is a partnership between David Bistricer of Clipper Equity and Anshel Friedman of Nalcorp.
NEW YORK CITY — Boston-based developer The Davis Cos. has topped out a 97-unit multifamily project at 1975 Madison Ave. in Harlem. Designed by DXA Studio and built by Broadway Construction Group, the eight-story building will house one- and two-bedroom units, with 30 residences earmarked as affordable housing. Amenities will include a fitness center, resident lounge, coworking space, pet spa and a rooftop terrace. The building will also house a 2,500-square-foot community center. Construction began in late 2023. Completion is slated for late 2025.
NEW YORK CITY — Ingka Investments, the investment arm of Ingka Group, which owns and operates a majority of IKEA stores globally, has purchased a one-third stake in the development of a 1 million-square-foot mixed-use tower underway in Manhattan. As part of the arrangement, IKEA will open a two-level store at the base of 570 Fifth Avenue, which will include a corner entrance along Fifth Avenue. Extell Development Co. is the master developer of 570 Fifth Avenue, which will feature Class A retail space and offices at the intersection of Manhattan’s Plaza and Grand Central districts. The project marks the largest development on Fifth Avenue in more than 60 years, according to Ingka Investments. “We have been working on assembling this project for almost two decades, and Ingka Investments’ substantial commitment allows us to move forward with the construction and leasing of the best new office building in New York,” says Gary Barnett, founder and chairman of Extell Development, which will retain a two-thirds ownership stake in the development. Ingka Investments’ stake in the tower includes the planned IKEA store. IKEA will open a “customer meeting point,” the retailer’s small-format store prototype, within the tower’s 80,000 square feet of planned …