Delshah purchases 221 West 17th Street from Doreen Interiors for $26.4 million; Emmetsberger and Oster of Massey Knakal rep seller

Delshah Capital, LLC (www.delshah.com), a full-service commercial real estate investment and property management company, has purchased 221 West 17th St. in Chelsea from Doreen Interiors for $26.4 million. Hall Oster and Brock Emmetsberger of Massey Knakal Realty Services exclusively represented the seller in the transaction. Working with its development partner On The Level Enterprises (OTL), Delshah will redevelop the 33,000 s/f loft warehouse building, adding four floors to create a 10-story residential condominium with ground floor retail space. "221 West 17th St. is located on a prime Chelsea block, adjacent to the incredibly successful Walker Tower condominium project. This submarket will continue to be a prime location for luxury condominiums, benefiting from the commitments Twitter, Google, Facebook, Barneys New York and others have made to the neighborhood," said Michael Shah, principal of Delshah. "We view this as such a prime location that we were willing to utilize our balance sheet to close quickly with a low leverage acquisition loan, and choose an institutional partner after pre-development." "We are thrilled to be partnering with OTL and CapitalSource on another high-profile residential development," said Jeff Bogino, managing director of Delshah. "221 West 17th St. provides us with the opportunity to continue developing strong relationships with institutional investors, and demonstrates our firm's commitment to delivering superior risk adjusted returns." Delshah and OTL previously teamed up in 2012 to co-develop Renwick Modern, a luxury condominium development in Hudson Square that is nearly sold out. The team partnered with an institutional investor as a limited partner, and secured financing from CapitalSource.