One of Manhattan’s most watched locations is the Fifth Avenue space that Prada bought from Jeff Sutton for more than $800 million. The retail giant appears to be putting a large part of the puzzle in place.
Jeff Blau’s Related Companies Nearing a Deal to Develop a Skyscraper at 720-724 Fifth Avenue, the Commercial Observer reported. The building can be linked to the Aman hotel and the homes adjacent to the site; According to the report, tenants may even be able to use the facilities next door.
Blau is negotiating the development of a 225,000-square-foot building. Prada would have a store at the foot of the building and corporate offices above. The building would also include luxury residences that could fetch five figures per square foot. Prada would reportedly have to move during the construction of the property.
Prada engaged JLL to look for development partners earlier this year. The luxury brand organized meetings with developers in Italy, resulting in Related’s victory over companies such as Vornado Realty Trust and SL Green.
JLL, Prada, Related, Sutton, SL Green and Vornado all declined comment or did not return the publication’s requests for comment.
In late 2023, the Italy-based fashion company agreed to purchase 724 Fifth Avenue for $425 million. Jeff Sutton’s Wharton Properties was the seller in the deal, which amounted to $6,538 per square foot for the 65,000-square-foot property.
Days later, another shoe dropped when Prada’s $410 million purchase of the adjacent property at 720 Fifth Avenue was revealed. That property was also owned by Sutton.
Prada started at 724 Fifth under a long-term lease that began in 1997.
Sutton refinanced 724 Fifth three times for $235 million – in 2014, 2017 and 2021 – and for $260 million in January 2023. He and SL Green had purchased the building for $200 million in 2012; Sutton’s company took full ownership of it in 2018 by buying out SL Green’s 50 percent stake.
— Holden Walter Warner
Read more
Brookfield refinances Crown Building retail apartment
Prada buys the Fifth Avenue flagship project for $425 million
Prada pours $835 million into Fifth Ave, Jeff Sutton cashes in
#Related #ready #develop #skyscraper #Pradas #Ave #building #report