Abby Rosen takes place in the Chrysler building, but her younger sister is not her younger sister. 145-155E. A triangular tridon next to 42nd Street. Rosen's RFR owns entirely the current property, unlike the leasehold he previously held at the office tower.
Rosen, who has been rebounding since Chrysler's landowner Cooper Union made him a boot, has big plans for a low-rise Philip Johnson-designed retailer sandwiched between the Landmark Tower and 666 third avenue in the corner.
“This is a great opportunity,” Rosen said. “We've always had the idea of redeveloping it.”
Rosen and his Austrian partner bought Chrysler and the Door Trillon next door in 2019 for just $150 million. However, as ground rents rose from $7.5 million a year to $32.5 million and another $41 million in 2028, the prices weren't as low as they looked.
However, Rosen was able to purchase Trilon entirely from Cooper Union without the costly trouble of the ground lease.
He said the 13,000-square-foot lot could support 100,000-square-foot floor space to the right when the old structure is destroyed and become much larger and taller.
The latter would require Air Force rights purchases and greater density allowances under the recent East Midtown rezoning, and the project will undergo the city's unified land use review procedure.
The Trillon was commissioned by former Chrysler building owner Tishman Speyer. Announcing in 2001, Johnson's design consists of three sharp glass triangles between two boxy, mediocre retail structures. Although intended as a homage to Chrysler's Art Deco Line, Trillon was not considered among Johnson's finest works. Most of the space was home to the Capital Grilled Steakhouse.
“It's pretty ugly between you and me,” Rosen said.
Rosen intends to lease the parcel rather than sell it. His options are open to meet market demand. The new building could be relatively small as 100,000 square feet, and asked $10 million per year on a triple net lease basis (tenants pay rent, utilities, and operating/maintenance costs).
“It could be designed for experiential retail, auto dealerships, or technology brands,” Rosen said. “We're already talking about it with three large car companies that are drooling it.”
However, he is also open to the “build-to-suit” option for a much larger building depending on the needs of the tenant.
He said the project, which combines office or hotel towers, or use, would be as big as 600,000 square feet, could rise “to the level of the Chrysler Gargoyle” on the 52nd floor of the tower.
“Realistically, we're looking at a 40-storey building,” he explained. The site is so small that the tall tower “will become needles on it and are not interested.”
I'm not in a hurry right away. Rosen said it might take two years to choose a tenant and design a new building. The RFR began showing flyers to large retailers a week ago. A wider marketing will begin this week through retail subsidiary Mona.
Meanwhile, Rosen is repulsing from the retreat of the crushed Chrysler building. He said he would not appeal the court's ruling in favor of Cooper Union.
The RFR has been under pressure on several properties after continuing aggressive borrowing over the past few years, but has successfully completed three major properties – the landmark Seagram Building, 475 Fifth Avenue and 17 State Street Downtown.
“Sometimes you have to move on,” Rosen said. “We've cleared up the mess and returned to loving what we're doing after some tough years.”
The Naftali Group has signed its first major retail tenant at Williamsburg Wharf, the developer's 3.75-acre residential complex on the East River Waterfront.
Famous chef Eirshani's Good People Group is set to launch a 4,000-square-foot restaurant on the Kent Avenue side later this year.
Other locations in Jerusalem-born Shani include Hasalon on Tentuaven (a $24 tomato splashed in 2019), Schmonet on West 8th Avenue, and Portside on Hudson Street. The Williamsburg Wharf venue will become an unspecified new concept.
Other big apple projects in the Naphtari Group include both 200 East 83d Street and Benson condo towers in Manhattan.
