Basically everything about Times Square Plaza and BPC - Site 23/24. I personally wrote and hand delivered the RFP for site 23/24. Renderings, Schematics, financial models...basically everything.
So I'm assuming they are looking to unload TSP to another developer?
Are they even working on doing that or will we have to wait several more years?
What did the financial models say about the site?
Doable?
What do you think will be the likely use for the site, residential, office and/or hotel?
1) No, they are actually looking to develop it. Possibly do a JV. However, HPM doesnt really focus on Real Estate right now....more on his Private Bank. Real Estate is more a hobby...if someone came with the right offer (TSP, Related, Extell...) Im sure he would sell.Originally Posted by antinimby
2) They are pretty far along in pre-schematics for a large office building and a large mixed use (with hotel or office) that actually work and are approved. They are finalizing a deal with the state within the next few months. At which point, they will have a year to figure it out...so they are definitely going to develop (or sell it) within the next few years.
3) Financial models are only models. I could make assumptions that make a circus work there.....its all about perceptions of that market.
4) If the Milsteins develop the site, I believe it will be an office building. If someone could bring them a 400,000sf user at the right rent??? they would break ground tomorrow on an office building. Milsteins arent really in the condo business. They are Billionares....why would they want to sell off condos and make a measily $100MM profit...? A rental property makes more sense....tax shelter...whether its an apartment complex or an office.
and, for the record, the state has no right to take away the land without going through eminent domain. Milsteins own it fee simple.
But you just said several posts ago that the Milsteins won't build TSP. I don't get it.
What's the advantage of a joint venture. Money, I'm assuming again?Possibly do a JV. However, HPM doesnt really focus on Real Estate right now....more on his Private Bank. Real Estate is more a hobby...if someone came with the right offer (TSP, Related, Extell...) Im sure he would sell.
Are these the proposals we saw in the past? Has the design changed? What kind of deal are they working on with the state?2) They are pretty far along in pre-schematics for a large office building and a large mixed use (with hotel or office) that actually work and are approved. They are finalizing a deal with the state within the next few months. At which point, they will have a year to figure it out...so they are definitely going to develop (or sell it) within the next few years.
That's good news. Office is good. Although, I think he has to go solicit offers and not wait until someone comes asking. I'm not in the biz so I wouldn't know how that works, though.4) If the Milsteins develop the site, I believe it will be an office building. If someone could bring them a 400,000sf user at the right rent??? they would break ground tomorrow on an office building. Milsteins arent really in the condo business. They are Billionares....why would they want to sell off condos and make a measily $100MM profit...? A rental property makes more sense....tax shelter...whether its an apartment complex or an office.
Plus, not that Milstein would, but even if they did a speculative office building right now, I don't think they would have any trouble moving 400,000 sf in Midtown.
As for moving 400,000sf of spec? Sure I could lease 300MM SF....but probably not at $100/sf.
Would be good to believe that the site will be developed soon. Passed by it today, it's growing trees already.
This gives me the impression that Milstein isn't a very confident company (at least in real estate anyway). A more bullish company would have built this thing and rented it out already long ago.
Now I'm getting excited. In what ways is it "different and better?"---MUCH different and much better.
I suppose so. I'm sure they're probably getting plenty of brokers looking to do condos but like you said, they could do better with office.---a site like 42nd street....you get offers left and right.
So that's what they're waiting for, $100 /sf ?As for moving 400,000sf of spec? Sure I could lease 300MM SF....but probably not at $100/sf.
I remember hearing the Times next door is asking for $75 / sf with higher floors.
Although, with TSP, the tenant can have the whole building to itself including naming rights ala 505 5th Ave.
- Even TSP and related bring do JV's. Just business. A bullish company could be sitting on 1MM SF of spec space and no market to hit your returns threshold right now.
- The design has just been worked on a lot since 2002. The renderings look really good.
- brokers dont call milstein with offers....people like Steve Roth call milstein with offers
- Originally, BofA and NYtimes tower were asking around $100 all in (the rent they needed to hit returns)...that is why it has leased like crap.
While this site looks like crud in its current condition I'm fine with it remaining as is for another few months -- just so we can see the Times Tower go up in all its glory.
But by autumn 2006 it would be great to see something start going in here. That might also spur some activity katty corner across the 42nd / 8th Ave. intersection (where the low rise Duane Reade now squats).
Unfortunately, the potential for this intersection to be truly dramatic has been ruined by the fricking hotel on the northeast corner. But we can at least dream that great towers end up on the other three corners.
The Westin will look like a masterpiece if the towers planned by our seemingly sightless NYC developers go up a few blocks north on 8th Ave.
It is at the point where most NY "developers" might be more aptly called
NY destroyers.
Anyway, please excuse my posts today, I'm a bit frustrated after looking out the window and seeing that the diner across the street is closing. I'm afraid it will be another Wachovia or Sprint store. No one else can afford the rents in the retail spaces being created in these towers.
New York's "prosperity" is pricing its humanity into oblivion. Shiny new oblivion.
TylerFC, may i ask and i say this with respect since i work for a major NYC commercial developer, what doe sthe development people do in that firm, i mean they have sat on more site, the west street site, BPC, south street seaport site and now this, what do they need to develop, a tenant to walk in the front door and tell them they will anchor the site????
They need a market and for HPM to get off his a$$.....part of the reason I left. The development people are sitting on sites.....HPM is.
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