JDS Development and Property Markets Group complete $46.3 million acquisition; Steinway Hall; 247,000 s/f, 16-story boutique office building

JDS Development Group, Property Markets Group and AmBase Corp. arranged the acquisition of the Steinway Hall building at 111 West 57th St. Steinway Musical Instruments, Inc. received a cash purchase price of $46.3 million for the 247,000 s/f, 16-story boutique office building that houses Steinway's flagship retail showroom. Steinway retains the right to occupy the premises through September 2014. In addition, the partnership announced the acquisition of the land-lease for 111 West 57th St., freeing up the property to be included in a new luxury mixed-use development project with an adjacent vacant lot at 105-107 West 57th St. Property Markets Group, founded by Kevin Maloney, and Michael Stern's JDS Development Group previously partnered with Starwood Capital Group with plans to develop the 105-107 West 57th St. property. Starwood Capital Group has since exited the partnership. "We're thrilled to acquire such a wonderful building, one that will be a core component of our world-class development project," said Michael Stern, managing partner of JDS Development Group. "We will respect and honor the rich historical significance of Steinway Hall." "57th Street has become New York's center of luxury real estate development, with global investors and buyers attracted to its unparalleled location at the heart of Manhattan. We look forward to contributing to and enhancing that landscape," said Ned White, partner at Property Markets Group. Located steps from Central Park, Carnegie Hall, the Plaza Hotel and Fifth Avenue's renowned retail corridor, the ground-up development will further establish its Midtown location as one of Manhattan's best. The building, which will include condominium units as well as a sizable retail presence, will be completed in 2016.