—American Realty Capital New York Recovery REIT Inc. closed on the acquisition of the fee-simple interest in three commercial condominiums located at 350 West 42nd Street in the Midtown neighborhood of Manhattan, N.Y., at a purchase price of approximately $19.8 million, exclusive of closing costs.
This acquisition increases the total size of the company’s portfolio to approximately $143.9 million, comprised of 10 properties.
The property is 100 percent leased to three tenants and contains 41,772 rentable sq. ft. The property consists of one parking garage unit and two ground floor retail units. Subject to the tenant’s right of first refusal, which expires on or about March 29, 2012, the company will acquire one storage unit at the property.
The parking garage is currently leased to 42 Parking LLC. TMO Parent LLC (known as Icon Parking Systems) has guaranteed the tenant’s obligations under theand operates over 185 parking facilities in Manhattan. The lease commenced in April 2007 and has a 20-year term, expiring in April 2027.
The first retail unit is currently master leased by the seller. Starbucks Corp. has executed a letter of intent for a 10-year lease on the unit.
The second retail unit is currently leased to 350-42 Fruits & Vegetables Corp. (known as Well Green Market II). The lease commenced in February 2012 and has a 15-year term, expiring in February 2027.
The storage unit is currently leased to The Orion Condominium. The lease commenced in January 2011 and has a 30-year term, expiring in December 2040.