Eliot Spitzer puts $145M worth of apts. on the block | Mt Kisco Real Estate

 

Real estate scion and former governor Eliot Spitzer is selling a big portfolio of apartments his family owns on the East Side in a deal that could fetch $145 million or more.

Mr. Spitzer has put 144 rental units at the Corinthian, a huge apartment tower his father Bernard Spitzer began building in the mid 1980s and finished in 1987. Robert Knakal, chairman of the brokerage firm Massey Knakal Realty Services, is marketing the apartments and confirmed the units were on the market.

“The market for any type of property today, but especially residential assets, is spectacular,” Mr. Knakal said. “It’s a great time to take advantage of it.”

The 57-story building, at 330 E. 38th St., is one of Manhattan’s largest residential towers, with 863 units, and a distinct columnar facade that provides the apartments inside with curving bay windows that offer sweeping views of midtown. The Spitzers sold most of those apartments in the years immediately after they constructed the tower, but when the city’s sales market slowed by the late 1980s, they decided to hold on to 144 units and convert them to rental properties.

The family has held onto the apartments, which are scattered throughout the tower, ever since.

Having lost a tightly-fought bid for city comptroller last year and with his father in his 80s and in poor health, the deal is also a sign that the younger Spitzer has begun to take a more active hand in steering the family’s real estate business. In December, he acquired a prime development site in the Hudson Yards for $88 million.

The sale of the Corinthian apartments could be a way for Mr. Spitzer to raise capital for future acquisitions or help finance the purchases he has made.

“Eliot is very sensitive to the fact that the family has extracted as much value as it can from some of the assets it owns,” said Jeffrey Moerdler, a real estate attorney with the firm Mintz Levin, who is a friend of Mr. Spitzer’s and handles the legal work for many of his real estate transactions, including this current sales effort. “He’s trying to monetize those buildings and revinvest in assets that have the opportunity to generate new value.”

 

 

http://www.crainsnewyork.com/article/20140325/REAL_ESTATE/140329923/eliot-spitzer-puts-145m-worth-of-apts-on-the-block