Manhattan-based developer HFZ Capital Group will convert a Tribeca office building into luxury condos, the firm announced Monday.
HFZ will partner with Joy Construction Corp. and New Valley Real Estate Management Inc. on redeveloping the 10-story, 122,000-square-foot building at 11 Beach St. HFZ purchased the plot in June for about $62 million, LAW360 reported.
The conversion will take advantage of the limited availability of large, loft-style apartments in Tribeca.
“We’re forging ahead with plans to convert (11 Beach St.) into a luxury, residential condominium that fits the character and style of the neighborhood. This type of addition to our portfolio — a historic property in a sought-after neighborhood — has become a signature of HFZ,” Ziel Feldman, HFZ founder and managing principal, said in Monday’s statement.
The building, originally constructed in 1910, is on an L-shaped lot with frontage on St. John’s Lane and Beach and Varick streets. HFZ, Joy and New Valley will maintain the property’s facade and convert the interior for housing use.
“We chose to partner with HFZ on this project because of the prime location of the building and the strong demand for homes in Tribeca,” New Valley CEO Howard M. Lorber told LAW360. “A well-documented scarcity of inventory, in addition to the neighborhood commanding some of the highest prices per square foot in the city, make this an attractive investment opportunity for us as the market continues to gain momentum.”
Sales will be led by Douglas Elliman Development Marketing. The planned number of units and pricing have not been disclosed.