In a $270 million deal, the Moinian Group has acquired 600,000 s/f of office and retail space at 509, 535 and 545 Fifth Avenue, also known as the Zeus portfolio; from institutional owners: Emmes and Apollo.
"We are extremely pleased to acquire this exceptional commercial and retail space, right in the heart of midtown." said Joseph Moinian, CEO of The Moinian Group. "This stretch of Fifth Avenue has never been more attractive to both office tenants and high-end retailers. Our investment in this entire block insures the continued enhancement of these outstanding properties."
With the acquisition of this portfolio, the company now owns a full blockfront along the luxury shopping strip. Moinian, who recently acquired 530 Fifth Avenue, located directly across the street from the Zeus portfolio; now owns the entire block front of Fifth Avenue between 44th and 45th streets.
"This [portfolio] fit in nicely with some of our other buildings" said Steven Bederman, executive vice president of The Moinian Group. "We're very happy to have it."
Richard Baxter of Cushman & Wakefield represented the sellers in the transaction.
The Moinian Group has tapped CB Richard Ellis to handle leasing for the portfolio. CEO, Mary Ann Tighe, first vice president, Keith Caggiano, and senior vice president, Jon Zuckerman, will run the assignment. The three pre-war buildings, which have recently undergone $42 million in capital improvements; are currently 90 percent leased with tenants such as Ascent Media and AskJeeves.com, as well as well-known retail tenants including Starbucks and Cohen's Fashion Optical. Caggiano estimates that rent in these buildings will be in the low $50s per s/f.
"There really isn't a lot of vacancy in the buildings," said Bederman. "In the midst of a rising rental market, we're going to busy filling the few vacancies we have. The area of Fifth Avenue where the portfolio is located is a hot leasing market right now." While there is little vacant space in the portfolio, all three buildings have units of varying size available. A limited number of full-floor opportunities are available primarily at 535 Fifth Avenue.
"The buildings have an ideal location with tremendous access to both Grand Central Terminal and Bryant Park and is recognized by the current tenant roster and low vacancy rate" said Caggiano, who also added that he expects to fill the remaining space with "an extension of current tenant roster.
"We are extremely pleased to acquire this exceptional commercial and retail space, right in the heart of midtown." said Joseph Moinian, CEO of The Moinian Group. "This stretch of Fifth Avenue has never been more attractive to both office tenants and high-end retailers. Our investment in this entire block insures the continued enhancement of these outstanding properties."
With the acquisition of this portfolio, the company now owns a full blockfront along the luxury shopping strip. Moinian, who recently acquired 530 Fifth Avenue, located directly across the street from the Zeus portfolio; now owns the entire block front of Fifth Avenue between 44th and 45th streets.
"This [portfolio] fit in nicely with some of our other buildings" said Steven Bederman, executive vice president of The Moinian Group. "We're very happy to have it."
Richard Baxter of Cushman & Wakefield represented the sellers in the transaction.
The Moinian Group has tapped CB Richard Ellis to handle leasing for the portfolio. CEO, Mary Ann Tighe, first vice president, Keith Caggiano, and senior vice president, Jon Zuckerman, will run the assignment. The three pre-war buildings, which have recently undergone $42 million in capital improvements; are currently 90 percent leased with tenants such as Ascent Media and AskJeeves.com, as well as well-known retail tenants including Starbucks and Cohen's Fashion Optical. Caggiano estimates that rent in these buildings will be in the low $50s per s/f.
"There really isn't a lot of vacancy in the buildings," said Bederman. "In the midst of a rising rental market, we're going to busy filling the few vacancies we have. The area of Fifth Avenue where the portfolio is located is a hot leasing market right now." While there is little vacant space in the portfolio, all three buildings have units of varying size available. A limited number of full-floor opportunities are available primarily at 535 Fifth Avenue.
"The buildings have an ideal location with tremendous access to both Grand Central Terminal and Bryant Park and is recognized by the current tenant roster and low vacancy rate" said Caggiano, who also added that he expects to fill the remaining space with "an extension of current tenant roster.