A joint venture between the Kushner Companies and Los Angeles-based CIM Group recently closed on the $50 million acquisition of 200 Lafayette Street. The seven-story, former manufacturing building is located at the northwest corner of Broome and Lafayette Streets and was included in the recent expansion of SoHo’s Cast Iron District.
200 Lafayette Street, which dates from the early 1900s, is currently vacant (other than a Capital One Bank that occupies approximately 4500 square feet of ground-floor retail). The joint venture intends to spend $20 million upgrading the building and to seek LEED certification for its efforts, which should bring 200 Lafayette’s remaining 16,500 square feet of retail and 100,000 square feet of new, Class A office space to market.
The sellers (John Zaccaro and his son) bought the building for $20.5 million in 2006 but battled with partners over a $30 million foreclosure suit that was filed in 2009. According to GlobeSt.com, SL Green provided mezzanine financing for the acquisition, but will not have a role in either the construction project or managing the property upon completion.