In many parts of the United States, such as New York City, residential and commercial property development is watched closely. This is particularly true in the Big Apple, as some of the biggest names in the industry are major players in the city.
Well-known real estate developer Steven Witkoff has partnered with Jynwel Capital, an equity partner out of Hong Kong, to purchase the Park Lane Hotel for $660 million. While this is a big deal on many levels, it is just one of the most recent high-profile transactions to take place in the city over the past few months.
When it comes to the development of residential real estate in New York City, Witkoff is one of the most well-known names. While he likes the idea of continuing to operate the property as a hotel, there are some changes he will be considering in the near future.
At this time, Witkoff has no trouble keeping the hotel operations as it earns between $20 and $25 million per year. That being said, he is looking towards the future and feels that converting the property to residential use, either partially or fully, could eventually happen. The team that purchased the property likes that they have many options moving forward.
Month in and month out in big cities throughout the country, these types of real estate transactions are finalized. As with any real estate transaction, the advice of an experienced real estate attorney can be most valuable. This will ensure your interests or the interests of your company is protected throughout the finalizing of the contract.
Source: Crain's New York Business, "Park Lane Hotel on Central Park South fetches $660M" Daniel Geiger, Nov. 26, 2013