Rendering based on potential height, via CityRealty
As the result of the $90 million acquisition of Brooklyn’s landmarked Dime Savings Bank building by developers Michael Stern (111 West 57th) and Joe Chetrit, a new residential skyscraper in Brooklyn could nearly reach the height of the Empire State Building.
The historic Neo-Roman building at 9 DeKalb Avenue in Downtown Brooklyn–next door to the famed Junior’s Restaurant–comes with 300,000 square feet of development rights, which, combined with existing air rights next door at 340 Flatbush Avenue Extension (which the pair bought last summer for $43 million), could be used to build an adjacent tower of nearly 600,000 square feet. The likelihood of a tower that reaches between 1,000 and 1,200 feet has been mentioned by sources close to the deal.
find out more about the planned Brooklyn skyscraper
Take two Art Deco commercial buildings designed by Robert Walker in the roaring twenties and mix in a little 21st century residential conversion magic by JDS Development Group, Property Markets Group, and Starwood Capital Group, and what do you get?
Apparently two highly successful projects that now have even more in common – owners who have purchased units in both buildings.
Why did owners double up on their investments?
In the last few days the streets surrounding the High Line in Chelsea have had their fair share of development speculation, with two major developers potentially scooping up sites on West 18th, West 19th and West 24th .
It is rumored the Related Companies may be willing to shell out a whopping $200 million — or $700 per buildable square foot —for the West 18th and West 19th parcels, both currently parking facilities.
But the jaw-dropping $800 per buildable square foot that Michael Stern, head of JDS Development Group, could be spending as part of a joint venture with Largo Investments on the two three-story buildings that now stand at 510-514 West 24th would be a record breaking sum. Recouping that $32 million investment would mostly likely necessitate fairly steep pricing for the finished apartments.
If the deals come to fruition, only time will tell if the appeal of the High Line will be strong enough to support such lofty sums, but the interest of two major development players certainly makes this a location to watch.
[Via Crain’s New York]