Tokyu Land US Corporation, the American subsidiary of Japan’s Tokyu Fudosan Holdings Group and a co-developer of 425 Park Avenue, has purchased an 83-unit multifamily building at 10 Rutgers Street on Manhattan’s Lower East Side. The property was acquired from Maurice Kaufman’s AMAC for $56 million, according to the New York Business Journal. This transaction values the 75,000-square-foot building at $747 per square foot and nearly $675,000 per unit.
Neither Tokyu Land nor AMAC provided comments on the sale.
MUFG Bank, a subsidiary of Mitsubishi UFJ Financial Group and Japan’s largest bank, supplied a $31 million loan to support the acquisition.
The building was completed in 2018, and AMAC bought it that same year for $59 million. Current listings show no available units in the property, but rents reported earlier this year ranged from $4,560 to $8,500 per month.
Recent data indicates that the median rent for a brokered apartment in Manhattan was $4,550 last month, reflecting a slight decrease from the previous period but still representing an increase of more than 8 percent compared to the previous year. Higher mortgage rates have contributed to sustained demand in the rental market, leading to a record median rent of $4,700 in Manhattan in July.
In another recent deal, Tokyu Land partnered with Canvas Investment Partners led by Robert Morgenstern to acquire the Azure tower at 436 Albee Square in Downtown Brooklyn for $112.8 million from Joel Gluck’s Spencer Equity.
AMAC owns or manages 71 buildings across ten states. The company recently secured a $34 million loan from Affinius Capital to refinance Main & Mill, an apartment complex completed two years ago in downtown Lewisville near Dallas.
In other Lower East Side real estate news, MML Hospitality of Austin purchased the Nine Orchard hotel at 9 Orchard Street from DLJ Real Estate Capital Partners for $92 million.
