Part 5 of 6: No man's land to NoMad: The invention of a neighborhood

Part 5 of 6: Commercial Real Estate Sales Activity Building sales have increased in the area as well. A number of commercial buildings with desirable addresses traded, as prices approached peak levels and owners opted to sell to avoid the capital gains increase. The Madison Belvedere, a luxury rental apartment building at 10 East 29th St. off Fifth Ave. built in 1999 and managed by the venerable Rose Associates, was sold in 2013 to Dallas-based Invesco for the princely sum of $300 million ($770 per s/f). It has been renamed the Instrata NoMad. More recently, the sale of a 30,000 s/f retail condominium in 10 Madison Sq. West was sold in October to investment group Savanna for $60 million. Other noteworthy building sales have included: • 15 East 26th St.: Rockrose Development Corp. and Savanna announced that 15 East 26th St., a 150,000 s/f boutique commercial office building located on Madison Sq. Park between Madison and Fifth Aves., was purchased by Rockrose for $105 million ($700 per s/f). • 1205-1225 Broadway: assemblage comprised of office/retail buildings located on two lots makes up nearly an entire block front and corner along Broadway and West 29th. The 250,000 buildable s/f site sold for $71.9 million in August 2011 to The Lam Group, who plans to build the first Virgin brand hotel in the U.S. at the location. • The MAve Hotel at 62 Madison Ave.: after emerging from five years of bankruptcy, Assa Properties (once owner of the Viceroy, which it rebranded as Cassa) bought it in October 2013 for $28 million from secured creditors (via a court-appointed trustee). • 10 West 28th St.: 5-story, 8,031 s/f commercial building abutting The Nomad Hotel sold on June 14th, 2013 to Nomad Hotel owners for $5.98 million ($744 per s/f), after being previously acquired by local investors in January 2011 for $2.4 million. • 256 Fifth Ave.: 12,960 s/f commercial building at 256 Fifth Ave., between East 28th and East 29th streets sold to power attorney Mark Geragos for $8 million ($617 per s/f in June 2012.) He reportedly intends to use it as a branch office for his law practice. • 110 Madison Ave.: 8,687 s/f mixed-use building with Melo restaurant on a quiet stretch of Madison between East 29th and 30th Sts. sold for $7.106 million to a developer in October 2012. • 27-29 East 30th St.: a 40' x 88', 21,000 s/f elevator apartment building with 24 units and retail off Madison Ave. sold in September 2012 for $18.25 million ($865 per s/f), to The Nomad Land Company LLC. • 202 Fifth Ave.: in May of 2012, the Commodore Criterion showroom building (manufacturer of Christmas/holiday ornaments) located at the apex of where Broadway and Fifth Ave. meet at 25th St., sold for $40 million ($2,766 per s/f). For a 14,460 s/f, 28' x 91' office building, this was an inexplicable price level. • 16-18 East 30th St.: A 13,650 s/f commercial loft building sold to a Texas based investor for $13 million ($952 per s/f) in May 2013. • 315 Madison Ave.: San Francisco-based Spear Street Capital bought the 20-story, 356,000 s/f office property from BCN Development for $250 million ($702 per s/f) in May 2013. The property had faced foreclosure since August 2012. • 240 Fifth Ave.: 5-story, 11,350 s/f commercial building on Fifth between E27th and East 28th Sts. sold for $7.7 million ($678 per s/f) in October 2012 to PDK Worldwide Enterprises. • 246 Fifth Ave.: after falling into disclosure and disrepair, this 6-story, 32,050 s/f commercial building on Fifth and the southeast corner of East 28th Sts. went into contract for $19 million ($593 per s/f) in August 2013 to an undisclosed buyer. Ron Cohen is chief marketing officer of The Besen Group, New York, NY. Follow him on Twitter @NYCRon126