Marketplace 4/16/2014
April 16, 2014

The Kaufman Organization, in a new joint venture with Principal Real Estate Investors, has signed a 99-year net lease with Extell Development Company to redevelop four vacant Manhattan commercial buildings in Midtown South.

The 11- and 12-story buildings total more than 341,000 square feet and are at 13-15 W. 27th St.; 45 W. 27th St.; 19 W. 24th St.; and 119-125 W. 24th St., between Fifth and Seventh avenues.

Earlier this year, Extell acquired the four buildings, which were grouped within more than a dozen properties, from brothers Frank and Michael Ring. The reported value of the entire deal was between $600 million and $800 million...

The four Midtown South buildings represent one the largest blocks of vacant space in what is perhaps the tightest office market in the U.S.," Fred Leffel, Kaufman's president of new ventures, said in a statement.

The asking range for office space in the Midtown South area near 24th and 27th streets begins at $66 per square foot and goes up to about $81 per square foot for class-A space, according to Studley's April report...

Marketplace 4/16/2014

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