University Place Switches Direction at 13th/14th St. (perhaps temporarily)

Next week (February 25 to March 1), material and equipment deliveries and installation work will continue on all floors inside the building as well as roof work. Additionally we will begin work on the new sidewalks around the building. We have begun dismantling the construction hoist on the building exterior and will continue to do so for the upcoming weeks.

The following week (March 4 to March 8), material and equipment deliveries and installation work will continue on all floors and roofs as well as sidewalk work.

This weekend the site will be open on Saturday, February 23rd for interior, superstructure, sidewalk, and hoist removal related activities between the work hours of 7AM and 5PM as permitted by the City.

NEW YORK CITY-DHA Capital LLC and its co-development partner Continental Properties have purchased 12 E. 13th St. in Manhattan. The property was sold for $32 million, or more than $700 per square foot. ABS Partners represented the sellers.

Hertz Rental Car previously occupied the ground floor while the remainder of the building, which spans 45,032 square feet of space, was being used as a parking garage. The new owners plan to turn the structure into upscale condominiums and will likely create a mix of full-floor homes and duplexes, along with retail facilities, according to a release.

“This is a highly desirable location where we intend to create large, super-luxury homes which will appeal to discriminating buyers,” says Steven Fisch, managing partner at Continental Properties, in the release.

”These types of homes are in very strong demand but short supply, particularly downtown,” adds Dan Hollander, managing principal of DHA. The team has engaged Cetra/Ruddy architects to design the conversion, which will not enlarge the building but will add several stories by demolishing part of the rear portion.

Located on the southern side of East 13th Street, between University Place and Fifth Avenue, the property is close to Union Square. A similar building that was a parking garage at 66 East 11th Street was recently converted into a residential building offering luxury condos.

Odell Real Estate represented the buyer. Hertz had vacated the building as its lease expired this past fall. The move allowed the building to be sold vacant, eliminating the uncertainty of a holdover tenant for potential buyers.

Constructed in 1930 of brick, steel, and concrete, the building was most likely used as a horse stable in addition to a parking garage for cars, as evidenced by heating coils throughout the building, according to ABS director Adam Maxson in a separate release. The building also features two large car elevators.

Recent construction activity in the Greenwich Village area helped create a strong demand for the building from a wide range of buyers that included both small local investors and large international investment groups, Maxson says in the release. The New School is currently constructing a 375,000-square-foot building just across the street and is scheduled to open in the fall of 2013. Also, a high-end 113-room boutique hotel, the Jade Hotel, is being built on West 13th Street.

The seller was very happy with the purchase price, according to a press release issued by ABS. “The ABS team performed a stellar job navigating this complex transaction from start to finish,” says Darren Postel, one of the sellers, in the release. “ABS coordinated with a broad range of buyers to get this disposition executed. I could not be happier with the resulting sale at such an impressive number.”

This is the latest in a series of deals for DHA Capital. The firm is in pre-development of a 300-unit rental property on Manhattan’s West Side. At 53 Pitt St. in Manhattan’s Lower East Side, DHA created and is now marketing 14 rental lofts. In Brooklyn, DHA purchased a 200,000-square-foot development site at 88 Richardson St. The property, which was approved for 230 rental units, was sold by DHA in July of 2012. The firm also acquired and sold a stalled luxury co-op in Harlem for repositioning as a rental.

A jewelry store called The Missing Link will take half the space formerly occupied by Spice at University and 10th.

This very interesting article from the New York Press describes the battle between a noted urban planner and his son, who happens to be the Parks Commissoner. They disagree about the future design of Union Square and they’ve been battling publicly. Ouch.

From the NY TIMES:

As bikes abound and roads grow narrower, New York can seem to be turning its back on cars. The rapid disappearance of gas stations may not be helping things either.

Parking garages are befalling similar fates, which may not be that surprising: Often humdrum, and built for function, they rarely seem to be the focus of preservation efforts, and developers have long eyed their sites for their potential.

But in Greenwich Village, two garages are being incorporated into condo developments, at 12 East 13th Street, with eight units, and 17 East 12th Street, with nine.

On East 13th, near Fifth Avenue, DHA Capital and Continental Properties are at work on a garage once used mainly by Hertz, the rental car company, which also had a ground-floor office. With eight floors, the garage was built in 1930, before modern zoning laws were imposed on the low-slung area, limiting height.

Indeed, had the developers torn down the garage and built new, it is doubtful that a new structure could have been as bulky as what is there now, which meant converting was a better option, said Dan Hollander, DHA’s managing principal.

Still, the developers could shift some things around; by shaving off the back of the building and adding that mass to the top, they were able to boost the height to 12 stories.

Other alternations are needed. The windows were not big enough for residential use, so they are being enlarged, as the building also gains a new facade, Mr. Hollander said. But starting with a foundation and walls cut some construction costs on the $75 million project, he added; similarly, the condo will take less time to complete, about 16 months, versus 24 months for ground-up construction.

DHA is also keeping a parking area, but for 11 cars, not 100 as before, and just on the second floor. Residents will drive into the original bay, then a robotic lift will pick up the vehicle and stow it.

Starting at $7.5 million for a three-bedroom, the units went on sale in April, although no contracts had been signed by late June.

An almost identical game plan is being followed on East 12th Street, where Rigby Asset Management is removing walls and floors from the back of the eight-story building to allow it to grow to 11 stories, giving apartments more light and air. There, too, a floor will be kept for parking, on the ground floor, for nine cars; and the same automated apparatus as at East 13th Street will serve as attendant. The nine condos, most of which have four bedrooms, are much pricier, however, starting at $14 million. Sales began at the end of June.

“You get column-free space and tall ceilings,” said Peter Armstrong, Rigby’s managing partner, who previously converted a garage at 73 Wooster Street into a six-unit condo. “You feel like an artist with a blank canvas.”