Thor, ASB Close on Manhattan Retail/Office Building for $97M

In the latest of several Manhattan acquisitions for both companies, though their first together, a joint venture of Thor Equities and ASB Real Estate Investments’ Allegiance Real Estate Fund has purchased a five-story, 60,000-square-foot property at 875 Washington St. in Manhattan’s Meatpacking District for $97 million.

By Scott Baltic, Contributing Editor

In the latest of several Manhattan acquisitions for both companies, though their first together, a joint venture of Thor Equities, of New York, and ASB Real Estate Investments’ Allegiance Real Estate Fund, of Washington, D.C., have purchased a five-story, 60,000-square-foot property at 875 Washington Street in Manhattan’s Meatpacking District for $96.5 million, both buyers announced Tuesday. The closing took place on Dec. 31, spokespersons for both companies told Commercial Property Executive.

The seller was one of the building’s tenants, clothing retailer Scoop NYC. Scoop’s parent entity is The Yucaipa Cos., of  Los Angeles, which has been known over the years for its many investments in retail operations, particularly grocery chains.

The building, whose other retail tenants include Bond No. 9 and Paige Premium Denim, occupies the entire block of Washington Street between 13th and 14th Streets and wraps around to both side streets. The location is close to the Standard Hotel, Christian Louboutin, Diane Von Furstenberg, STK, the Apple Store and the future downtown home of the Whitney Museum.

“The Meatpacking District has experienced a massive transformation over the last 10 years, becoming a top destination for culture, art, high–end residential, entertainment, business and hotel development,” Robert Bellinger, president and CEO of ASB Real Estate Investments, said in a press release. “This investment fits with ASB’s strategy to acquire competitively positioned office and High-Street retail properties with high NOI growth potential and strong demographic underpinnings.”

The purchase marks Thor Equities’ second acquisition on this block in the last three months. Thor’s Meatpacking District portfolio also includes 837 Washington, 446 West 14th Street and 412 West 14th Street.

Similarly, over the past year ASB has acquired $285 million in Manhattan office and retail properties, including 625 Broadway, a 94,000-square-foot office building; 400 Madison Avenue, a 175,000 square-foot office building; and 72-76 Greene Street, a SoHo retail-office loft building. ASB’s acquisitions in Manhattan in 2012 totaled nearly $500 million.