Olmstead Properties, in partnership with the investment platform Vertex, announced the acquisition of 19 West 44th Street, a 302,000-square-foot office building located in Midtown Manhattan, for an undisclosed price. The acquisition further expands the firm’s rapidly growing Manhattan office portfolio and reflects continued conviction in well-located office assets as leasing activity, tenant demand and investor interest continue to improve across New York City.
Located between Fifth and Sixth Avenues, steps from Grand Central Terminal and Bryant Park, the 18-story property was constructed in 1916 and has since been repositioned as a LEED Gold-certified office building featuring flexible floorplates, modernized infrastructure and a strong tenant roster.
The building is approximately 79% leased, providing immediate cash flow with additional upside through the lease-up of remaining space. Major tenants include Yipit, Harman International, Kallari Restaurant, Robert Derector, Corporate Service Corp., EOS Products and Bitwise. Recent capital improvements have enhanced building systems, common areas and prebuilt suites, positioning the property to compete effectively for today’s office tenants while preserving its historic pre-war character.
“This acquisition reflects our continued belief that the best-positioned Manhattan office buildings remain compelling investment opportunities,” said Steve Marvin, executive managing director at Olmstead Properties. “With strong tenancy already in place, recent capital improvements and a clear path to further enhancing the tenant experience, we believe 19 West 44th Street is exceptionally well positioned for long-term success.”
Ownership is planning a comprehensive amenity and capital improvement program designed to further elevate the tenant experience and support future leasing activity. As part of that effort, Olmstead is moving forward with approximately 23,000 square feet of new prebuilt office suite, building on the success of the property’s existing Fogarty Finger-designed spaces. Additional improvements are expected to include hospitality-driven amenities and collaborative spaces tailored to the evolving needs of today’s office users.
Will Silverman of Eastdil Secured represented the seller, Savanna, in the transaction. Olmstead Properties will oversee office leasing at the property, with Steve Marvin and Sam Friedfeld spearheading leasing efforts as ownership looks to build on the property’s strong leasing momentum and unlock additional value through active asset management and tenant engagement. Cushman & Wakefield will continue to serve as the exclusive retail leasing agent.
Acquisition financing was provided by Derby Lane Partners, a leading alternative asset manager focused on capital solutions within real estate credit, which originated a $91.4 million senior mortgage loan secured by the property. The capital will support Olmstead Properties and Vertex’s business plan to further enhance the building’s amenity offering and capitalize on growing demand for high-quality office space in prime Manhattan locations.
Vertex, co-founded by Patrick Pavone and Adam Arnow and backed by the Rosenblatt and Arnow families, was established to pursue strategic office acquisitions throughout New York City.
“We are continuing to execute on the strategy we laid out with the launch of Vertex — targeting well-located Manhattan office buildings where active ownership and thoughtful leasing can unlock value,” said Pavone. “19 West 44th Street is exactly that: a high-quality asset with strong fundamentals, significant leasing momentum and meaningful upside.
“This is our third acquisition since November and fourth transaction overall, and we are very much in full swing at this point,” Pavone added. “We want the brokerage community to know that we are active, we are investing and we are committed to leasing our buildings.”
