A real estate investor is offering for sale a former, 5-story New York City school building and an adjacent lot with a one-story building on the southwest corner of First Avenue and 117th Street.

The site, whose address is 2269-2275 First Avenue, has an asking price of $14,500,000. Michael A. Tortorici of Massey Knakal Realty Services, which is making the offering, said that there have been ?substantial levels of interest already? for the site, which can be developed with about 65,598 square feet of residential space.

Plans developed by Costas Kondylis & Partners LLC, however, indicate that because of the existing 14-foot-ceilings in the former school building the site could be developed with about 71,000 square feet ?through the innovative use of loft space.?

Based on zoning studies a new development on the site could be about 10 stories high.

Mr. Tortorici indicated that because the former school building is so attractive buyers are highly likely to include its fa?ade in any new development.

The offering package included two architectural renderings of possible development: one with a modern, rectilinear building adjacent to and over part of the former school building, and one, shown at the right, with a fa?ade of alternating angles adjacent to and over part of the former school building.

?Considering its unique architecture, size and commanding corner location, 2269-75 First Avenue is the best opportunity in today?s market to lead Northern Manhattan?s future residential developments through even higher price barriers,? according to Shimon Shkury, a partner at Massey Knakal.

?The property is uniquely situated among Northern Manhattan?s newest developments and oldest establishments,? the offering maintained, adding that ?While old guard establishments like the ramous Rao?s and Patsy?s Pizzeria bring historic character, new developments like the Harlem Automall, the East River Plaza, and La Marqueta will bring substantial momentum to the neighborhood?s growing economy. Opened in March 2006, the Harlem Automall is the first auto dealer above 59th Street in over 50 years. With construction now underway, the East River Plaza will not only provide hundreds of jobs, but also the convenience of major retailers like Home Depot and Costco. La Marqueta?s new open plazas and streetscapes will provide small local businesses with an excellent new venue to sell their products.? The 500,000-square foot retail project known East River Plaza is under construction and will contain 1,248 parking spaces on the former site of the Washburn Wire factory.

?Residential developments,? the offering continued, ?continue to reach levels of success that many never thought were attainable in Northern Manhattan. As of March 2006, the average price per sq. ft. for condominiums traded between January 2005 and February 2006 was $574 per square foot?.In fact, condominiums are commonly trading above the $650-$700 per sq. ft. mark in developments like Roosevelt Lane Condominiums and Seneca Terrace. The Ivy, a new luxury condominium development locate on the northeast corner of East 188th Street and Second Avenue, is scheduled to open in the fall of 2006. The most relevant condominium sale?.recently closed at 309 East 108th Street. Since both properties were originally built as New York City schools, the buildings feature similar loft features and layouts. In January 2005, unit 3F in the converted 309 East 108th Street closed for a record $985 per square foot.?