The Real Deal | Adam Pincus
The investment firm Hudson Companies made its first purchase using a $200 million fund created to invest in residential and commercial real estate in areas of New York City impacted by Hurricane Sandy, insiders told The Real Deal.
The Greenwich Village-based firm, headed by David Kramer, paid $39.5 million for two adjacent apartment buildings at 1125 Banner Avenue in Sheepshead Bay, one with seven stories and one with 11 stories. The seller was a joint venture of an affiliate of GFI Capital Resources Group and an unidentified foreign investor. The sale closed yesterday and was first reported by the Commercial Observer.
New York City Pension Funds invested a total of $500 million — $200 million to Hudson and $300 million to Related Companies — to acquire and rehabilitate properties impacted by the storm. The city anticipates that the real estate firms will be able to leverage the funds to acquire $1.5 billion in residential and commercial properties.
David Behin, president of the investment sales and advisory division of the commercial and residential firm MNS represented Hudson Companies, while Yosef Katz and Yisroel Pershin of GFI Realty Services represented the sellers.