Stonehenge NYC, A-Rod Corp and Modlin Group have acquired a residential apartment building in Manhattan for over $66.2 million. Formerly known as Allen House, the property has been rebranded as Stonehenge 51. A-Rod Corp is an investment firm led by baseball legend Alex Rodriguez.
NEW YORK, Feb. 21, 2020 /PRNewswire/ — Ofer Yardeni, Chairman and CEO of Stonehenge NYC in partnership with A-Rod Corp, an investment firm led by legendary baseball star Alex Rodriguez, and Modlin Group, a boutique real estate agency headed by Adam D. Modlin, today announced the acquisition of a 114 unit residential apartment building located in the coveted Midtown East submarket of Manhattan at 340 East 51st Street. Formerly known as Allen House, the 14-story building constructed in 1965 by the London Family has been rebranded as Stonehenge 51.
The property was acquired for a price of $66,248,000 or $707 per square foot. The new venture has partnered with private investors who saw an opportunity to invest in a quality residential apartment building in New York City, one of the world’s strongest and most resilient markets. The new partnership is well positioned to take advantage of secular trends including urbanization and generational demographic shifts which are driving the steady demand for residential rental housing.
Stonehenge NYC originated the investment opportunity and was responsible for the due-diligence process as well as elaborating the investment strategy for the property. Stonehenge NYC will manage the business plan and budget for Stonehenge 51. Part of the investment strategy includes the introduction of a new and innovative concept branded as Stonehenge Reserve which offers tenants the flexibility of leasing fair market units for terms of 6-months or more as well as the convenience of leasing fully furnished apartments. The transaction was brokered by David Krantz and Paul Leibowitz of Savills.
Ofer Yardeni, Chairman and CEO of Stonehenge NYC, said, “We have noticed a strong trend, particularly among millennials, of a need for more flexible lease lengths and furnished options. Due to this, we are delighted to introduce our new Stonehenge Reserve concept at Stonehenge 51. Should they desire – a tenant can simply move in with nothing but their clothing. I am thrilled to be doing our first deal with Alex and Adam and also introducing Stonehenge Reserve. This will be the first of many deals together, as we continue to be bullish on a market that has consistently provided great investment opportunities for rental apartments.”
Commenting about this first acquisition for the recently formed Venture, Alex Rodriguez said, “Stonehenge 51 is a great compliment to the investment strategy I have established for myself as an investor in real estate over the past 20+ years. With Adam and Ofer as my partners, we have an all star team that has enjoyed an enviable track record in owning and managing Manhattan rental apartments for more than two decades.”
Adam D. Modlin, who was key to the Venture’s formation, said, “Stonehenge 51 is an amazing opportunity to own a quality residential apartment building that has historically enjoyed a very high occupancy rate given its excellent location in Midtown East. With tech companies such as Google expanding its footprint in NYC and Facebook taking 1.5 million square feet in NYC, there is a growing demand for quality rental apartments.”
In commenting on the sale, Ben London stated: “David and Paul did a remarkable job in securing the right buyer for this generational family asset.” Ben London is the principal of his Family Office which has acquired approximately 4,000 units throughout the south-east since 2015.
About Stonehenge NYC
Stonehenge NYC, founded by Ofer Yardeni, is a vertically integrated, private real estate company with expertise in investment management, property management, development, design, construction, leasing and financing. Stonehenge’s core growth strategy is focused on New York City real estate opportunities. The company currently owns and manages 19 residential apartment buildings with more than 2,800 rental apartment units. www.stonehengenyc.com
About A-Rod Corp
Founded in 2003 by legendary baseball player Alex Rodriguez, A-Rod Corp identifies, originates and manages investments across a broad array of industries, including real estate, sports and wellness, media, and entertainment. With a flexible and opportunistic investment mandate, the firm focuses on long-term opportunities, where it can add value to create superior risk-adjusted returns. Led by Alex Rodriguez and a team of seasoned investment professionals, the firm manages both internal and external capital.
About Modlin Group
Modlin Group is a bespoke boutique real estate agency in New York City. Founded by Adam D. Modlin in 1999, the company has a 20-year track record for closing high profile transactions. In the past five years alone, the company has executed in excess $1 B in transactions. While Modlin Group’s expertise is in New York, the company has developed alliances and advises clients in the Hamptons, Boston, Miami, Los Angeles, and London.