Eastern Consolidated sells 49-unit apartment building at auction for $20.1 million

According to Eastern Consolidated, 114 West 86th St., a 49-unit pre-war apartment building, has sold at auction for $20.1 million. Eastern Consolidated's Lipa Lieberman, director, with David Schechtman, principal and senior director, acted on behalf of the U.S. Bankruptcy Court at the May 4th auction, which featured a stalking horse (pre-existing) $17.95 million bid on the property from Bernstein Real Estate. "We were successful in obtaining a price well in excess of the pre-existing bid on the building, which is a testament to the strength of the market for well-located, under-performing, multifamily residences," said Lieberman, who added that 30 of the building's 49 units are rent regulated. The property had been in dispute since 2003 and became the subject of a single asset bankruptcy proceeding culminating in the auction held in Los Angeles on May 4th. "The auction generated a flurry of interest," said Schechtman, "We entertained more than 36 bids during the short three week marketing period prior to bid deadline." The 16-story plus penthouse elevatored property, situated in one of Manhattan's best residential neighborhoods, consists of one- and two-bedroom apartments averaging 827 s/f with average rental rates currently at $1,875 per month, but renting for as high as $4,250 per month. Once renovated, the units could ultimately be sold as condominiums at premium prices that would exceed $1,000 per s/f and could reach up to $1,400 to $1,500 per s/f or more on the upper floors.