421 Seventh Avenue – Sanford Brown
Building: 421 Seventh Ave
Tenant: Career Education Corporation
Financing: Conventional + HTC & NMTC
HTC Buyer: Sherwin Williams
Development Budget: $9,500,000
Services Provided: Development, Design & Construction
Massaro Properties (MP) LLC was retained by CBRE to develop a 50,000 square foot building for a national, publicly traded client they represented. After extensive market research, CBRE determined the best alternative for their client was to stay in their current location at 421 Seventh Avenue.
The client/tenant wanted to stay functional in the space while Massaro performed extensive base building and tenant improvements.
The current client/tenant would only remain in the building if MP became the owner.
MP, in conjunction with Massaro Corporation’s in-house design and construction teams, developed schedule and detailed phasing and move plan for the school. An extensive base building renovation and tenant improvements plans were implemented and the school remained functional during the 35,000-square-foot upgrade.
MP was able to work with another local broker who was representing current building owner and agree on a sale price and purchased the building.
MP through its prior knowledge of Historic Tax Credits (“HTC”) was able to bring this unique financing equity tool to the development. Also, due to the census tract, MP was able to obtain an allocation of New Market Tax Credits (“NMTC”) for the project. The project was the first of its kind to partner HTC and NMTC.