After sitting mostly vacant for years, New York City’s iconic Flatiron Building is set for a second life in residential housing, its owners announced Thursday.
The Brodsky Organization will partner with the landmarked building’s new owners to convert it into apartments, the Manhattan-based real estate developer said in a news release.
What You Need To Know
- The Brodsky Organization will partner with the Flatiron Building’s new owners to convert it into apartments, the Manhattan-based real estate developer said in a news release
- The developer reportedly purchased a stake in the Fifth Avenue building and plans to construct luxury condos
- The building's owners plan to to seek approvals from the city in early 2024. The Flatiron’s last tenant, MacMillan Publishers, moved out in 2019
The developer recently purchased a stake in the Fifth Avenue building and plans to construct luxury condos, The Real Deal first reported.
The Flatiron’s last tenant, MacMillan Publishers, moved out of the building in 2019. In the years that followed, the building’s then-owners shelled out around $100 million for upgrades and renovations, but a disagreement among them forced a judge to order it to auction.
During the Flatiron's first auction in March, Jacob Garlick, a managing partner at a Virginia venture capital firm called Abraham trust, put in the winning bid for $190 million.
But in a shock to the real estate world, he wasn't able to secure the required 10% down payment, which led to the second auction.
The building landed in familiar hands during that auction: Jeffrey Gural, who was part of the Flatiron’s previous ownership group, successfully bid $161 million in May.
The Brodsky Organization is now part of a joint venture with the Sorgente Group — an international development company — and the Gural family’s GFP Real Estate company, the release said.
“We are very proud to preserve this New York City landmark,” The Brodsky Organization’s Daniel Brodsky said in a statement. “The Brodsky Organization, along with our partners at the Sorgente Group and GFP Real Estate, believe that the Flatiron is well suited for residences and we look forward to working with the city and the Landmarks Preservation Commission to realize this exciting opportunity.”
The exact timeline for the building’s redevelopment remains unclear at the moment, as does the extent to which it will be transformed to accommodate housing instead of offices.
The Brodsky Organization said the joint venture intends to seek approvals from the city in early 2024.