NEW YORK | 350 East 86th Street | 210 FEET | 20 FLOORS

[Vertical_Gotham]

Major real estate developer to pay $100 million for Upper East Side site
http://www.crainsnewyork.com/article...east-side-site

Developer Gary Barnett is laying the groundwork for his next Manhattan condo project.

The builder of mega-spires like One57 and the Nordstrom Tower, which is under construction on West 57th Street, has entered into a contract to purchase the site of a Gristedes on the Upper East Side for about $100 million. Mr. Barnett is expected to close on the acquisition of the one-story building next year, when the grocery store’s lease expires.

The store, at 350 E. 86th St., near the corner of First Avenue, can be combined with neighboring sites Mr. Barnett already owns to build a 210-foot-tall, 200-plus-unit condo building.

Over the past year and a half, Mr. Barnett, who is one of the city’s most prolific residential builders, has purchased at least four neighboring low-rise apartment buildings facing First Avenue stretching halfway down the block, from the corner of East 86th Street toward East 85th Street. He also bought a property on East 85th Street that would allow a new development to have an entrance on both sides of the block.

The sites that Mr. Barnett owns, including 350 E. 86th St., allow for an approximately 20-story tower totaling about 230,000 square feet. He would have to buy the four remaining adjacent parcels between East 86th and East 85th streets to build a project that spans the entire block along First Avenue. If Mr. Barnett is able to make those purchases, the additional development rights would allow him to boost the square footage of a new building to more than 300,000 square feet and create desirable retail space facing the entire avenue. The height of any new development in the area is capped at 210 feet.

Mr. Barnett is acquiring the Gristedes site from a family that has owned the property for several years. A sales team from Jones Lang LaSalle, led by broker Richard Baxter, arranged the sale.

[chris08876]

Extell lands $55M Bank of Ozarks loan for UES condo

Gary Barnett’s Extell Development nabbed a $54.9 million acquisition loan from Bank of the Ozarks for the developer’s latest Upper East Side condominium development.

The acquisition loan coincided with the Extell’s closing on a Gristedes supermarket at 350 East 86th Street, according to property records. The purchase price for the site was $93 million.

Extell went into contract last year on the property, where it’s planning a 20-story condo. The supermarket parcel will be combined with four low-rise properties that Barnett previously assembled on First Avenue between East 85th and 86th streets.

So far, plans haven’t been filed for the project, located within blocks of another Extell project that’s currently under construction. The Kent, located at 200 East 95th Street (also known as 1681 Third Avenue), will be a 30-story condo tower with a projected sellout of $535.34 million.

Bank of the Ozarks, a regional bank based in Arkansas, has ramped up investment in New York City real estate in recent months. Tishman Speyer said it would start construction on its 1.1 million-square-foot Long Island City office-and-retail development after landing a construction loan from the bank and Qatari Diar.

In other Bank of the Ozarks deals, Ashkenazy Acquisition Corp. secured $92 million for its purchase the Nylo hotel and Sam Chang pulled off $115 million to develop a 28-story hotel.

======================
TRD

[chris08876]

What will be replace down the line:


Credit: https://commercialobserver.com/2016/...uisition-loan/

[NYguy]

https://patch.com/new-york/upper-eas...-for-new-tower

Lone Upper East Side Tenant Defeated By Extell In Quest For New Tower
The developer may no longer need to build awkwardly around a single tenant thanks to a new ruling, which some say sets a worrying precedent.


By Nick Garber
Oct 10, 2022

The developer Extell defeated a rent-stabilized tenant — who has held up the construction of a block-sized Upper East Side tower for more than a year — in a new court ruling that lawyers fear creates a troubling precedent for thousands of tenants citywide.

The Sept. 27 ruling went against the tenant, Greg Marshall, who is the last remaining resident of his walk-up building on the corner of East 86th Street and First Avenue. Extell has spent years buying and demolishing the block's other low-rise tenements, leaving only Marshall's building and another midblock building owned by two holdout landlords.

After Extell sued Marshall in an attempt to get him out, Marshall won an initial court decision last fall — and Extell soon filed plans for a 22-story tower that would cut awkwardly around his home and the other holdout building.

But Extell appealed, and last month's decision by the State Supreme Court's Appellate Division found that the company could refuse to renew Marshall's lease in order to demolish the building.

Even if Extell prevails and demolishes Marshall's building, its future development may still need to work around the other remaining building: the midblock walkup at 1645 First Ave., whose owners — the infamous landlords Stuart and Jay Podolsky — have refused to sell, according to a report last year by The Real Deal.

The plans that Extell filed last year call for a 543-unit apartment building, spanning the entire block of First Avenue between East 85th and 86th streets — wrapping around the sites of Marshall's building and the Podolskys' property. (Extell's chairman told the New York Times last year that he was considering building a school, though the official plans made no mention of that.)

[JMKeynes]

[NYguy]

Extell staying busy…..


https://patch.com/new-york/upper-eas...om-extell-site

Whole Upper East Side Corner To Be Demolished, Across From Extell Site
"It's heartbreaking," says the owner of Aero Locksmith, one of a dozen businesses being displaced by Yorkville's latest major teardown.


By Nick Garber
Nov 18, 2022

An entire Yorkville corner is about to face the wrecking ball, as the building's owners head to court in an effort to drive out the block's remaining businesses, court records and planning documents show.

Developers filed plans Thursday to demolish the whole northwest corner of East 86th Street and First Avenue, where a set of connected four-story buildings have stood since 1910. The ground floor includes long-running businesses like Aero Locksmith, Hybrid Florist, A & N Art Gallery, Taco Today, and a number of other shops and restaurants.

….. Extell did not immediately respond to questions about whether it owns the northwest corner, whose addresses span from 349-361 East 86th St. and 1653-1659 First Ave.

[NYguy]

These may be two different projects.


https://www.crainsnewyork.com/real-e...pper-east-side

Extell parts ways with Upper East Side lot now poised for twin 23-story buildings


JULIANNE CUBA
March 7, 2025

Brooklyn-based Chess Builders is planning for a pair of mixed-use buildings on an Upper East Side corner lot it just acquired for $50 million, according to information from the developer and city records.

Developer Cheskel Schwimmer scooped up the roughly 12,000-square-foot site at 355 E. 86th St. from prolific real estate firm Extell Development, according to a recent deed, and filed permits to replace its existing 4-story walk-up with a 23-story building containing 99 apartments and retail on the ground floor.

However, Schwimmer told Crain's Friday that he anticipates the proposed project to actually include twin buildings, comprising a total of 198 rental units across both. The two structures, both rising 23 stories, would include bike parking, a lounge and an exercise room, as well as a shared outdoor recreation area across about 140,000 square feet of residential space. It would also include retail on the ground floor across 4,543 square feet, records show.

Demolition permits to raze the 33-unit building now occupying the site, between First and Second avenues, were filed by Extell this week, records show. Marc Kwestel, executive vice president of finance at the Midtown-based firm, signed the deed on behalf of the seller. Extell bought the property for $14.5 million in 2021, records show.

The sale of the Upper East Side building comes at a time when Extell appears to be actively acquiring properties and planning large projects throughout Manhattan. The company recently bought an office building at 15 W. 46th St. for about $24.8 million, and is planning a mixed-use tower at 655 Madison Ave. that would stand 37 stories tall as well as a tower to contain Manhattan's first Ikea at 574 Fifth Ave. that would stand 32 stories tall.

[NYguy]

https://patch.com/new-york/upper-eas...ildings-report

Yorkville Corner Poised To Get 2 New 23-Story Towers: Report
Demolition permits for a four-story walk-up building have been filed.


Miranda Levingston
Mar 10, 2025

A four-story building in Yorkville is going to be demolished and replaced with a pair of 23-story towers designed by Brooklyn development company Chess Builders, according to a report by Crain's New York Business.

Chess Builders recently bought the lot, which is located at 355 East 86th St. between First Avenue and Second Avenue, for $50 million from Extell Development and filed permits for just one tower with apartments and commercial space on the first floor, Crain's reported.

However, Chess's developer Cheskel Schwimmer told Crain's the project will likely include two buildings, with 198 apartments between both, as well as retail space on the ground floor.