Overview
Newmark has been exclusively retained to offer for sale a 100% fee simple interest in 79 Walker, 157 West 18th Street and 348 West 14th Street (collectively the “Boutique Manhattan Office Collection”, the ‘Collection” or the “Portfolio”), an exceptional collection of three beautifully redeveloped boutique office assets, strategically located in Manhattan’s highly sought-after Tribeca, Chelsea, and Meatpacking neighborhoods.
The Portfolio offers significant scale featuring more than 77,000 rentable square feet across the three Properties. With nearly 100% occupancy, the Collection is exceptionally well leased to a diverse roster of tenants across a number of industries including technology, venture capital, fashion and legal. Further, the Portfolio has a weighted average lease term of approximately three years, and several in-place leases with rents that are significantly below market, presenting a compelling combination of strong in-place cash flow with significant nearterm mark-to-market growth.
All assets have undergone extensive gut-renovations, with current ownership investing nearly $20 million in capital improvements. Upgrades include new building systems and mechanics, modernized elevators, high-end interior finishes, and rooftop amenity spaces at each property. Additionally ownership has added three penthouse floors to the 348 West 14th Street property. The buildings have been meticulously maintained post-renovation, resulting in minimal deferred maintenance and limited near-term capital requirements.
The Portfolio benefits from geographic proximity across three of Manhattan’s most dynamic submarkets, providing operational efficiencies and a scalable platform for ownership. Each property offers excellent access to public transportation and is surrounded by a strong mix of retail, dining, and cultural amenities.
The Offering is available for acquisition either as a portfolio or on an individual asset basis. All inquiries should be directed to Newmark.
Investment Highlights
- PREMIER MANHATTAN FOOTPRINT - Rare opportunity to acquire a 77,500 RSF boutique luxury office portfolio across three of Manhattan’s premier submarkets: Tribeca, Chelsea, and the Meatpacking District.
- INSTITUTIONAL-QUALITY CAPITAL PROGRAM - Nearly $20 million ($257/RSF) invested across the Portfolio, including the addition of vertical square footage, full-floor gut renovations of existing floorplates, comprehensive building systems upgrades, and a complete high-end repositioning to a best-in-class standard.
- FAVORABLE ROLLOVER ECONOMICS - Small, pre-built floorplates and recently overhauled common areas and base building systems require minimal capital and tenant improvement outlay at rollover, supporting a narrow spread between NOI yield and cash-on-cash returns.
- EMBEDDED MARK-TO-MARKET UPSIDE - Blended in-place office rents are more than 15% below market, driven by legacy pandemic-era leasing, with select floors offering rollover upside in excess of 60%.
- NEARLY 100% OCCUPANCY - Leased to a diverse tenant roster spanning technology, venture capital, fashion, and legal, generating over $5.75 million in contractual annual revenue.
- STRATEGIC LEASE TERM PROFILE - Weighted average lease term of approximately 3 years provides near-term cash flow stability while preserving embedded rollover to capture mark-to-market upside.
- SUBSTANTIAL TAX SAVINGS THROUGH ICAP - The Portfolio is well-positioned to capture meaningful benefits under New York City's Industrial & Commercial Abatement Program, which provides up to 25 years of real estate tax abatement in exchange for qualifying capital investment. Recent qualifying construction positions future ownership to realize material tax savings and a corresponding expansion of NOI.
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