The co-developers of a high-end apartment development in New York’s Chelsea neighbourhood have sold the asset to a Chicago-based REIT for $280 million. DLJ Real Estate Capital Partners and JD Carlisle sold The Beatrice, located at 105 West 29th Street, to Sam Zell’s Equity Residential.
“New York City Class A multifamily is a highly sought-after asset class delivering solid returns to institutional investors,” said Jules Demchick, chairman of JD Carlisle, in a statement.
The 301-unit, 30-storey high-rise property sits atop the 26-storey Eventi Hotel and has been nearly fully occupied since its rental programme began in August 2010. The rest of the building, which includes the 292-room Eventi Hotel and a 529-space parking garage, was not part of the sale.
Separately, this transaction follows the news that DLJ, which spun out of Credit Suisse last year, decided to shutter its European operations. The closing of its European office in London follows the news that one of its former European directors, Graham Langlay-Smith, left the firm in May to join Wainbridge as chief financial officer.
Going forward, DLJ plans to focus on other parts of the world, particularly its US and China franchises. The New York-based private equity real estate firm is led by Andrew Rifkin, who has been with the outfit since its inception in 1995.