Slaven gets conversion gem in sweetheart Soho sale.

A magnificent two-building, mixed-use property at 72-76 Greene Street in SoHo, an ideal example of late 19th century cast iron architecture, has just been sold to Red Brick Properties, Inc., led by David S. Slaven, for over $23 million.

Two teams of Eastern Consolidated brokers arranged the transaction, acting separately on behalf of seller and purchaser.

Brian Ezratty, vice chairman, and Scott Ellard, director financial services, represented seller, Gary Barnett, of Extell Development Co.; Deborah Gutoff, senior director, with the assistance of Heidi Burkhart, associate broker, procured the purchaser. Mr. Ezratty sold the buildings to Mr. Barnett three years ago, while representing the Witkoff Group as their exclusive agent.

"Landmarked by Manhatttan's SoHo Cast Iron Historical District, these co-joined buildings comprise 45,000 square feet, and are leased to a diverse array of retail, residential and office tenants," said Mr. Ezratty.

Not surprisingly, 72-76 Greene Street traded swiftly, as some of the tenancies were rented at below market levels and the residential lofts fell under rent stabilization; both factors give the new owner an opportunity to maximize the value of the buildings."

"Our client is very excited to add this significant acquisition to his existing portfolio of other properties in SoHo," said Ms. Gutoff, who added that he intends to convert the buildings to residential condominiums, with a single retail component.

"Although the buildings were not entirely vacant at closing, Mr. Slaven was not deterred because the tenancies represent significant upside potential."

In fact, the ground floor retail space, now vacant, offers 75 feet of prime frontage on Greene Street, a main SoHo shopping thoroughfare. According to Ms. Gutoff, upscale, luxury lofts in SoHo are now selling in the $1,400--$1,700 per square foot range. Enhancing its value even further, the former owner had begun the process of adding additional useable space onto the roof of the building, which would create 4,000 square feet of penthouse space, with terraces on both the east and west sides.

"As soon as I learned that 72-76 Greene Street was on the market, I acted quickly because it suits our profile. This is an irreplaceable asset located in the heart of SoHo, " said Mr. Slaven. Red Brick Properties specializes in acquiring and converting late 19th and early 20th century buildings, located in SoHo, Tribeca, and the West Village.

Built in 1872 by architect J.F. Duckworth, the building is of wood frame construction, with a concrete foundation and a spectacular cast iron facade, designed to make the two separate buildings look like a single structure. The building is known within the architectural world as the "King of Soho".

Ira Nesenoff Esq. of Nesenoff & Miltenberg represented Red Brick Properties, Inc., while Lonnie Shalton of Polsinelli, Shalton, Welte & Suelthaus situated in Kansas City, Missouri, acted for Extell Development Co.