Manhattan’s largest commercial property owner, SL Green Realty has sold a 49 percent stake in one of its rental properties to BlackRock Real Assets, the real estate arm of investment manager BlackRock Inc. The property, 400 E. 57th St., was valued at $170 million at the time of the transaction. The building is known as Stonehenge 57 and is a 19-story building located on First Avenue, taking up the entire east side block of 56th and 57th streets. The mixed use building offers 261 luxury apartments and 13,772 sqf of ground-level retail. The new partnership plans to upgrade residential units in the property as well as the common areas and amenities. HFF’s Andrew Scandalios and Rob Hinckley represented SL Green in the transaction. Funding for the deal was provided by New York Community Bank with a 10-year, $100 million mortgage loan at a 3 percent fixed interest rate.
“BlackRock continues to target high-quality assets in major markets as a means of seeking to deliver attractive risk-adjusted returns to our clients. The 400 East 57th Street investment fits very favorably within our investment strategy given its gateway market location, current income and the potential for future value creation,” said Benjamin Young, managing director and head of U.S. real estate separate accounts at BlackRock Real Assets.
