Cashing in for a Good Cause

  • Posted at 9:50, December 05, 2013
  • By Quidnunc Staff

Two top development names have teamed to provide a new home for a big nonprofit.

Extell Development Co. and Kushner Cos. have leased United Cerebral Palsy of New York City have leased 218,000 square feet at 80 West End Ave., an Upper West Side industrial building they own.

The deal specfics were reported by the Real Deal yesterday. In yesterday's newspaper, the New York Times described how United Cerebral Palsy sold its E. 23rd St. location selling to developer Toll Brothers, for more than twice what it was offered for its four-story property in 2007, for $135 million.The Times article also details other nonprofits that have cashed in on rising New York real estate prices and replaced them with long-term leases.

The charity will renovate the West End Ave. building--the Times says its a former Sherman tank manufacturing facility--to convert it into office space.

 

The Real Deal says that the nonprofit's 30-year, triple-net lease is worth about $8.5 million in starting rent for the year, and that Extell and Kushner bout the building in August for $84 million in August.

 

Broker Michael Berger of Colliers International represented United Cerebral Palsy, the Real Deal says.  It will occupy four floors and the roof, with a a Metropolitan Opera call center and cable provider RCN on the second floor.

This morning, GlobeSt.com notes that the nonprofit was representing by Jon Epstein, a principal at broker, Avison Young, in the sale of its Gramercy Park headquarters. The article says Epstein represented Toll Bros., too.  The item, echoing the Real Deal, says that Extell and Kushner were self represented in the 80 West End Ave. lease deal.

 

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