By Hiten Samtani, The Real Deal
Westbrook Partners and RXR Realty closed on the purchase of 47 Hall Street, a 550,000-square-foot property just south of the Brooklyn Navy Yard, for $161 million, sources told The Real Deal. Barry Sternlicht’s Starwood Capital Group is acting as the lender on the deal, sources said. Starwood provided a roughly $90 million acquisition loan and will cough up another $71 million for redevelopment costs.
The transaction, which closed for north of $300 per square foot, is one of the bigger investment sales deals in Brooklyn. The sellers — a partnership including Rubin Schron’s Cammeby’s International, Eli Fruchthandler and Bruce Federman — had been declining to renew leases at the building prior to the sale, as TRD reported in September.
Westwood Realty Associates’ Steven Vegh, who was the sole broker on the sales transaction, confirmed the sale but declined to comment further. Representatives for RXR, Starwood and Westbrook didn’t immediately respond to requests for comment, but sources said the partners are planning to convert the property into Class-A office space for tech and creative tenants. The total project cost, including the acquisition and redevelopment, is said to be close to $290 million.
An HFF team composed of Christopher Peck, Michael Tepedino and Steven Klein represented RFR and Westbrook in the financing deal. Peck confirmed the loan deal but declined to comment further.
Published: March 4, 2016
Filed Under: Acquisition
The RXR platform manages 74 commercial real estate properties and investments with an aggregate gross asset value of approximately $15.7 billion as of June 30, 2017, comprising approximately 22.1 million square feet of commercial operating properties and approximately 5,200 multi-family and for sale units under active development in the New York Metropolitan area.