Developers pay $17.5M for two UES walk-ups, plan to raze for condos

Key facts

Address

1527 and 1531 York Ave., Upper East Side, Manhattan (Crain's); Commercial Observer places 1527 York Ave. at the corner of East 81st Street

Purchase price

$17.5 million (Crain's)

Buyer

Joint venture of GCRE (Grand Cru Real Estate) and Visabe Corp.

Construction loan

$52.5 million from S3 Capital (Commercial Observer)

Planned building

20-story condo tower (Commercial Observer)

Units

28 condos, one to five bedrooms (Commercial Observer)

Contractor

Oak CM, construction manager and general contractor (Commercial Observer)

Construction start

Early 2027 (Commercial Observer)

What it means

The highlights

1. The buyer is a joint venture of GCRE and Visabe Corp.
2. The two buildings are at 1527 and 1531 York Avenue.

Why it matters Landlords

Older Manhattan walk-ups can sell as teardown sites for condos, a sign of what developers will pay for that land.

Not known yet

• Whether the walk-ups are currently occupied, and how many households live there
• Whether any apartments in the buildings are rent stabilized
• Whether demolition permits have been filed with or issued by DOB
• Expected completion date and condo pricing

Background

In New York City, demolishing a residential building requires permits from the Department of Buildings (DOB). When a building contains rent-stabilized apartments, an owner who wants to demolish generally must apply to New York State Homes and Community Renewal (HCR) for permission to refuse lease renewals. HCR approval can come with conditions such as relocation assistance or payments to tenants.