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Cushman & Wakefield Sells Classic Pre-War Elevator Building on the Upper East Side

2/18/2020
New York, NY - Cushman & Wakefield and Meridian Capital Group announced today the sale of 118 East 93rd Street, a prime Upper East Side property located between Park & Lexington Avenues.

The property sold for an astonishing price of $710,500 per unit, a capitalization rate of 4.2%, $630 per square foot and a gross rent multiplier of 16 times.

Cushman & Wakefield’s Robert Shapiro, Brett Weisblum and Ian Brooks represented the seller, Crest Realty, while Amit Doshi and Jonathan Shainberg of Meridian Capital Group represented the buyer, Gazivoda Realty.

Crest Realty had purchased the property in 2017 for close to $40M with the intention of converting it to a condominium. When the property first hit the market in April 2019, the asking price was $45 million, which would have left ample room for a buyer to profit from a condo conversion, if not for recent rent laws.

“This is a prime example of a property that was severely impacted by the Tenant Protection Act,” said Robert Shapiro of Cushman & Wakefield. “Ownership made substantial upgrades throughout the building in the hopes of converting the property into a luxury condominium, but changes in the law virtually eliminated the ability of ownership to file for conversion. The new regulations, along with the changes to treatment of rent-regulated units, further negatively impacted the value.”

About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 53,000 employees in 400 offices and 60 countries. In 2019, the firm had revenue of $8.8 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.

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Michael Boonshoft New York Communications
Michael Boonshoft

Communications Director • New York