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Explore the remarkable $12.95 million transformation of 145-147 East 47th Street, NYC. Discover how expert real estate strategies in Midtown East, Manhattan led to a 418% value appreciation over 9 years. Learn from this prime NYC property development case study.
Midtown East: A Thriving Manhattan Neighborhood
Midtown East, home to 145-147 East 47th Street, is a vibrant and dynamic neighborhood in the heart of Manhattan, New York City. This bustling district seamlessly blends business with pleasure, offering:
- Proximity to iconic landmarks: Bryant Park, Grand Central Terminal, and the New York Public Library
- A thriving business ecosystem with numerous corporate headquarters
- Diverse dining options, from upscale restaurants to casual eateries
- High-end and boutique retail shopping experiences
- Cultural attractions and entertainment venues
The area's mix of historic architecture and modern skyscrapers creates a unique urban landscape that attracts residents, businesses, and tourists alike.
Transit Hub: Unparalleled Connectivity
145-147 East 47th Street benefits from Midtown East's exceptional public transportation network:
Subway Stations:
- Grand Central-42nd Street Station (4, 5, 6, 7, and S lines): Just 1 block west
- Lexington Avenue-53rd Street Station (E and M lines): Approximately 2 blocks east
Bus Routes:
- M15: Runs along 1st and 2nd Avenues
- M42: Traverses 42nd Street
This comprehensive transit infrastructure provides seamless access to all parts of Manhattan and beyond, making 145-147 East 47th Street an ideal location for businesses and residents alike.
Midtown East Real Estate Challenge: Maximizing Value Over Two Decades
Bob Knakal faced the complex task of maximizing value for a property that had transitioned from a mixed-use building to a potential development site over two decades in the competitive Midtown East real estate market.
Strategic Real Estate Actions in Manhattan's Midtown East
- Established a long-term relationship with the original owner, Ed Kearney, through persistent communication and personal touches.
- Identified a user-buyer (David Braham) for the initial sale in 1999, recognizing the property's potential for retail use in Midtown East.
- Maintained contact with the new owner over years, positioning for future opportunities in the evolving Manhattan real estate landscape.
- Recognized the shift in Midtown East market dynamics, recommending a development site sale when Braham decided to sell in 2007.
- Implemented a comprehensive marketing program to attract potential developers to this prime Midtown East location.
Impressive Results: 418% Value Appreciation in Midtown East Property
- Initial sale in 1999: $2.5 million to David Braham for his World of Golf shop in Midtown East
- Second sale in 2008: $12.95 million to a developer for new construction in this prime Manhattan location
- Total value appreciation: 418% over 9 years in the heart of Midtown East
- Successful transition from user property to development site, maximizing return for the client in one of Manhattan's most sought-after neighborhoods
Client Testimonial: Exceptional Real Estate Service in Midtown East, Manhattan
"Bob Knakal sold the property to me so it was only fitting that I have him sell it for me. Bob and his team did a fantastic job of getting me the highest possible price in Midtown East." - David Braham, The World of Golf
Key Takeaways from this Midtown East Real Estate Success Story
- Long-term relationship building is crucial in Manhattan real estate success
- Adaptability to changing market conditions can significantly increase Midtown East property values
- Understanding a property's potential for different uses (retail vs. development) is essential for maximizing returns in Manhattan
- Midtown East continues to be a prime location for real estate investment and development in New York City
Full Development Story: 145-147 East 47th Street, NYC
Second time is better than the first!
Although the transaction to create this new building closed in February of 2008, the genesis of this transaction actually began back in the mid-1980s. At that time, the property was owned by a gentleman named Ed Kearney. This was the only property that Ed owned, and he actually lived in an apartment on the third floor of the building and rented the rest of the spaces.
Early on, Ed was a target of my cold calling, and within a few months, I had already established a fairly good relationship with him, even meeting him for coffee to further that relationship. I loved that he put whisky in his coffee at 10 a.m.! We kept in touch, quarter after quarter. In early 1999, Ed called to say, "Hey Bob, it's time. Come on over".
I went over to the building to meet with him (bottle of Jamison whiskey in hand) and we discussed the market and the building. I mentioned to Ed that the property was a potential development site but that a user buyer might be a good option also as he could deliver the building vacant. He had retail space that was becoming vacant, and I mentioned that this would provide an opportunity for a user buyer to purchase the property and occupy the retail space. Ed retained us, and we put the property on the market.
Then after a few months of marketing, we had offers from developers but we were able to identify a user buyer, David Braham, who owned a golf shop called The World of Golf. We made a deal with David to sell him the property for $2.5 million and he was going to occupy the first two floors for his business. That transaction closed on November 17, 1999. We kept in touch with David over the years and in late 2007, David called to say that it was time for him to sell the building. This time around, we told David that we felt the property's value as a development site would be the highest and best value.
He retained us to market the property and after a typical marketing program we came up with the buyer who wanted to demolish the property to make way for new construction here. The development value clearly exceeded the value of the existing building to a user at this moment in time. This transaction closed on February 28th 2008, for $12,950,000. A great result for David and a great round trip for us.
Learn More About Manhattan Real Estate Development
Explore more of our remarkable deals in our exclusive online magazine featuring Midtown East Development Site Sales. Discover how we consistently maximize value and sale prices for our clients across New York City's most desirable neighborhoods, including 447-451 Lexington Avenue Midtown East, Manhattan
