NEW YORK CITY — New York Life Insurance Co. has signed a 47,000-square-foot office sublease at One World Trade Center in Manhattan. The company is subleasing the entire 39th floor of the 104-story skyscraper for 10 years from Advance Magazine Publishers Inc. One World Trade Center was built in 2013 and offers amenities such as a café, conference center and a sky lounge. Peter Riguardi, Steven Rotter, Joseph Messina, Jessica Berkey, Brett Harvey and Andrew Coe of JLL represented Advance Magazine Publishers in the sublease negotiations. Matthew Astrachan, Nicole Tiger, George Gemelos and Kristen Morgan, also with JLL, represented New York Life. The Port Authority of New York/New Jersey owns the building in partnership with The Durst Organization, whose internal agent Eric Engelhardt also worked on the deal. New York Life plans to relocate from 120 Broadway to the new space in May 2023.
WINTHROP, MASS. — Locally based developer The Procopio Cos. has completed The Somerset, a 29-unit multifamily project in Winthrop, located on the eastern outskirts of Boston. The complex offers one- and two-bedroom units ranging in size from 500 to 1,300 square feet and includes 1,119 square feet of retail space. Residences are furnished with quartz countertops, private decks and in-unit washers and dryers, and communal amenities include a fitness center, onsite parking and bike storage space. The Somerset opened with 35 percent of the units leased. Rents start at $2,650 per month for a one-bedroom unit.
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Walker & Dunlop: Affordable Housing’s Appeal Grows for Investors
With transaction volume for market-rate housing beginning to ebb, affordable housing investment is poised to play a more central role in the months ahead. Several factors have broadened the allure of affordable housing as an investment vehicle in recent years. When the pandemic began taking a toll on market-rate housing performance, investors saw federal, state and even local governments enact measures to help residents at affordable communities maintain their rent payments and help ensure housing remained available for people struggling financially. We saw the interest level in Section 8 properties, for example, increase significantly during the pandemic, due chiefly to federal guarantees backing those rent streams. From a financing perspective, the strong commitment shown by Fannie Mae, Freddie Mac and the Federal Housing Administration to preserve liquidity for affordable housing has bolstered development and investment in the space. Due to the required hold periods, affordable housing investments are less affected by market cycles, so liquidity should remain strong. Now, changing economic forces promise to drive new equity to the affordable sphere and fuel further investment. The Federal Open Market Committee’s resolve to combat record inflation is exerting upward pressure on mortgage rates and, eventually, cap rates, which could discourage sellers …
BOUND BROOK, N.J. — Citizens Bank has provided a $32.4 million construction loan for The Rail at Bound Brook, a 143-unit multifamily project in Northern New Jersey. The property will house studio, one- and two-bedroom units with an average size of 811 square feet, as well as 650 square feet of ground-floor retail space. Amenities will include a clubhouse, game room, yoga studio, courtyard and coworking space. Michael Klein, Jon Mikula and Michael Lachs of JLL arranged the three-year, floating-rate loan on behalf of the borrower, a joint venture between Denholtz Properties and Redwood Real Estate Group.
GREENWICH, CONN. — An affiliate of Hawaii-based Trinity Real Estate Investments has acquired the Hyatt Regency Greenwich, a 373-room hotel in southern coastal Connecticut. The building served as a printing press for Condé Nast from 1921 to 1967 before being redeveloped into a hotel. Today, the Hyatt Regency Greenwich features an indoor pool, fitness center, salon and 35,000 square feet of meeting and event space. The new ownership plans to implement a value-add program. The seller was not disclosed. Hodges Ward Elliott brokered the transaction.
BOURNE, MASS. — Massachusetts-based brokerage firm Waldman & Associates has arranged the sale of a portfolio of seven industrial buildings totaling 124,000 square feet in Bourne, located at the nexus of Cape Cod and the mainland. The sales price was approximately $10.6 million. Dan Waldman of Waldman & Associates represented the undisclosed seller and procured the buyer, Unicorn Realty, in the transaction. Tenants at the portfolio include EOIS, Falmouth Toyota and Cape Cod Tennis & Court.
NEW YORK CITY — Japanese alcoholic beverage supplier Suntory has signed a 100,000-square-foot office headquarters lease at 11 Madison Avenue in Manhattan. About 150 employees will work in the full-floor space, which includes two bar areas, a tasting room, interactive conference room, a digital art exhibit and flexible workstations. David Kleinhandler, Joe Cybulski, James Whalen and Maura Flanagan of CBRE represented Suntory, which is relocating from Chicago, in the lease negotiations. Zach Freeman, David Kaufman and Neil Kessner represented the landlord, SL Green, on an internal basis.
BOSTON — Marcus & Millichap has brokered the $5.8 million sale of Allston Townhomes, an apartment building located near Boston University. Built in 2011, the property comprises six units. Evan Griffith and Tony Pepdjonovic of Marcus & Millichap represented the buyer and seller, both of which were limited liability companies that requested anonymity, in the transaction.
JERSEY CITY, N.J. — Veris Residential Inc. (NYSE: VRE), a publicly traded REIT with offices in New Jersey and Massachusetts, has agreed to sell Harborside 1, 2 and 3, a trio of adjacent office buildings in Jersey City. The unnamed buyer will purchase the properties for an aggregate price of $420 million, subject to closing adjustments. The three office buildings anchor Harborside, a 25-acre development that fronts the Hudson River and also houses five apartment communities, a Whole Foods Market, shops, eateries, the Harborside 5 and Harborside 6 office buildings, onsite daycare, urgent care and primary care medical space, and two parking garages. Veris recently signed Collectors Holdings, parent company of Professional Sports Authenticator, to a 130,000-square-foot lease at Harborside 3. Veris recently also closed on its $346 million sale of 101 Hudson Street, a 42-story office tower in Jersey City spanning nearly 1.3 million square feet of space. With sale of this and the Harborside portfolio, Veris is taking a big step toward the corporate goal of being a “pure-play multifamily REIT.” With these office sales and the stabilization of Haus25, a 750-unit apartment community underway in Jersey City, multifamily will represent 98 percent of Veris’ net operating income, …
By Taylor Williams Though very much in its infancy, the Philadelphia 76ers’ recent decision to assemble a development team and file a formal proposal for a new arena at the current site of Fashion District Philadelphia has drawn the city’s retail market into speculation on how buildings, operators and streetscapes will be impacted. Known as 76 Place, the $1.3 billion venue would theoretically anchor the Market East corridor that connects Center City to Chinatown and Old City via its location atop the city’s largest public transit hub. The ability to centralize the arrival of fans, shoppers and diners from all cardinal directions, as well as multiple states, automatically sparks excitement for growth opportunities in the world of retail real estate. This project would immediately check that box. “The announcement of the new 76ers arena has generated a lot of discussion in the retail world,” says Steve Gartner, executive vice president at CBRE. “Bringing an arena to downtown Center City, especially one that’s adjacent to a convention center, will allow Philadelphia to hold more concerts and global events, like political conventions, that impact retailers and restaurants. These positive impacts will permeate the fabric of all of downtown.” “The retail community is …