Sherwood Equities has acquired the vacant development site at 356 Tenth Avenue near the West Side rail yards for over $42 million from Extell Development that had once planned a tall, mixed-use skyscraper designed by Steven Holl for the site, according to an article today at rew-online.com by Daniel Geiger.
Last year, Gary Barnett, the head of Extell, handed the parcel back to Barclays, which held a nearly $30 million mortgage on the property, the article said, adding that "in March, Barclays hired a team from the real estate brokerage company Massey Knakal Realty Services led by Massey Knakal's chairman Robert Knakal to market and sell the site."
"Buoying 356 Tenth Avenue's value is the rail yards across the street, what is expected to be the focal point of the far West Side's transformation into an expansion of the city's central business district. Amid the rocky economic times, it appeared uncertain whether the site's designated developer, The Related Companies, would proceed with the multi-billion dollar development, which requires that a billion dollar platform be built over the working rail yards to support the millions of s/f of office, residential, retail, and public space planned above. Related, however, has appeared to proceed with its plans for the site and Stephen Ross, the company's chief executive, has expressed confidence that he will lure corporate tenants to anchor millions of s/f of commercial development there by next year, demand that he says is driven by the growing desire among companies to be in state of the art, custom built space," the article said.
It's not clear what Sherwood's plans for 356 10th Avenue will include, the article said, but Barnett had imagined a large tower with hotel and residential space. "Sherwood has experience developing projects in emerging areas of the city, building and investing in Times Square when that neighborhood was still transitioning from its seedy past into a thriving tourist destination and commercial hub. The company has also been active on the West Side," the article continued.
"According to written reports," it added, "Sherwood purchased 508 West 20th Street, a stalled development close to the High Line, in April for $7.3 million. Rules limiting high-rise development that would encroach on the light and air of the elevated High Line park allow the company to transfer some of the development rights from 508 West 20th elsewhere. It's not clear if Sherwood could use those rights as an addition to any project it builds at 356 Tenth Avenue."
Last year, Gary Barnett, the head of Extell, handed the parcel back to Barclays, which held a nearly $30 million mortgage on the property, the article said, adding that "in March, Barclays hired a team from the real estate brokerage company Massey Knakal Realty Services led by Massey Knakal's chairman Robert Knakal to market and sell the site."
"Buoying 356 Tenth Avenue's value is the rail yards across the street, what is expected to be the focal point of the far West Side's transformation into an expansion of the city's central business district. Amid the rocky economic times, it appeared uncertain whether the site's designated developer, The Related Companies, would proceed with the multi-billion dollar development, which requires that a billion dollar platform be built over the working rail yards to support the millions of s/f of office, residential, retail, and public space planned above. Related, however, has appeared to proceed with its plans for the site and Stephen Ross, the company's chief executive, has expressed confidence that he will lure corporate tenants to anchor millions of s/f of commercial development there by next year, demand that he says is driven by the growing desire among companies to be in state of the art, custom built space," the article said.
It's not clear what Sherwood's plans for 356 10th Avenue will include, the article said, but Barnett had imagined a large tower with hotel and residential space. "Sherwood has experience developing projects in emerging areas of the city, building and investing in Times Square when that neighborhood was still transitioning from its seedy past into a thriving tourist destination and commercial hub. The company has also been active on the West Side," the article continued.
"According to written reports," it added, "Sherwood purchased 508 West 20th Street, a stalled development close to the High Line, in April for $7.3 million. Rules limiting high-rise development that would encroach on the light and air of the elevated High Line park allow the company to transfer some of the development rights from 508 West 20th elsewhere. It's not clear if Sherwood could use those rights as an addition to any project it builds at 356 Tenth Avenue."
Architecture Critic
Carter Horsley
Since 1997, Carter B. Horsley has been the editorial director of CityRealty. He began his journalistic career at The New York Times in 1961 where he spent 26 years as a reporter specializing in real estate & architectural news. In 1987, he became the architecture critic and real estate editor of The New York Post.
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