It’s the most lucrative time in the city’s history to own in Soho.
Two connected buildings at the corner of Spring and Broadway are in contract to sell for $190 million to a group of Israeli investors, a source familiar with the deal said. The buildings, 530-534 and 536-538 Broadway, have gone to contract with blistering speed and represent the second batch in Soho in the last two months to sell for more than $1,000 per square foot—a new benchmark for the retail-heavy district. The buildings total about 170,000 square feet, according to Propertyshark.com.
The source did not identify the specific buyers but said the deal didn’t include Lev Leviev, the freewheeling Israeli billionaire who is in contract to buy both 229 West 43rd Street and the clock tower on Madison Avenue.
In a way, the speed in which this deal was completed had the earmarks of Mr. Leviev. The Schack family had gone on the market with the buildings about two weeks ago and suddenly they were gone last week; someone gobbled them up that quickly (but more on speedy buys later).
For Soho, it’s further evidence of its increasing vitality. Just two months ago, 600 Broadway, at the corner of Houston, went to contract for more than $1,000 per square foot, an amount reserved for the strongest corners of midtown (and supposedly not for a district like Soho and its moderate office rents).
Enter retail rents! They’re quickly playing as integral a factor as office rents in setting the market. The connected buildings at 530-534 and 536-538 Broadway include retail outlets like Levi’s and Scoop.
The deal was brokered by Cushman & Wakefield’s investment-sales dynasty of Richard Baxter, Ron Cohen, Scott Latham and Jon Caplan. They would not be interviewed for this item.