Continuing the discussion from NEW YORK | Hudson District - Hudson Boulevard Corridor Subdistrict:
With 99-year lease in hand, developer Maddd Equities announces that it will build a huge property that will include either offices or a hotel in the lower floors and apartments above.
BY DANIEL GEIGER
APRIL 11, 2014 1:57 P.M.
A huge building boom is gaining steam in Hudson Yards, the neighborhood west of Penn Station where millions of square feet of commercial and residential space are already rising. Maddd Equities, a real estate firm that has developed several residential projects in the city, has signed a 99-year lease for a site on the northwest corner of West 35th Street and 10th Avenue. There it plans to build a 415,000-square-foot tower as tall as 700 feet, that would include either hotel or office space on the lower floors and residential units above.
“There’s going to be a residential component and we’re strongly looking at hotel and possibly office space as well,” said Eli Weiss, an executive at Maddd Equities. “Everyone right now is buying up parcels in this area and figuring out the best mix for maximizing their value.”
Mr. Weiss said he could not disclose how much the firm is paying for the leasehold that gives them control of the development parcel.
The deal comes as the firm is about to break ground on a hotel project just across the street at 450 10th Ave. That project, Mr. Weiss said, will be a Four Points Sheraton Hotel. Mr. Weiss explained that the hotel the firm may develop at 451 10th Ave. would likely be a higher-end brand.
The deal is among several large development transactions that have been signed in the Hudson Yards area recently. As Crain’s reported Thursday, the development firm Black House, just acquired 470 11th Ave. where it plans to raise a 700-foot tall hotel and residential condo tower.
Former governor Eliot Spitzer also just bought a parcel late last year next door to Maddd Equities’ purchase, 511 W. 35th St. for $88 million, according to reports. It is rumored that Mr. Spitzer has been exploring a deal to expand that parcel by buying neighboring properties, including the building just to the north of Maxxx Equities’ site. A spokeswoman for Mr. Spitzer declined to comment on that deal.