Canvas led joint venture acquires coveted Gramercy Park apartment property for $105M

NEW YORK, Oct. 21, 2024 – JLL Capital Markets announced today it has completed the $104.5 million sale of 210-220 East 22nd St. a seven-story, 204-unit rental building located in Manhattan’s coveted Gramercy Park neighborhood.

JLL represented the seller, a global real estate investment advisor and the buyer, a joint venture of Robert Morgenstern’s New York-based Canvas Property Group, Declaration Partners and Tokyu Land US Corporation, a core company of one of Japan’s leading real estate groups.

Comprised of two adjoining, complementary buildings that share connectivity on the ground floor and a best-in-class amenity package, 210-220 East 22nd St. is a 100% fair market property comprised of 82 studios, 75 one-bedroom units, 39 two-bedroom units and eight three-bedroom units. Approximately half of the units have been fully renovated and the property enjoys 95% occupancy.

Amenities include an attended lobby, fitness center, resident lounge and an additional laundry facility on every floor. Renovated units have high-end finishes such as granite countertops, custom cabinetry, stainless steel appliances, vaulted ceilings, in-unit washer / dryers, walk-in closets and private terraces in select units.

Located steps from multiple subway lines offering express and local access to greater Manhattan, Brooklyn, Queens and the Bronx, 210-220 East 22nd St. is walking distance to eclectic shopping and dining, grocery stores, including Target and Trader Joe’s, and greenspaces, including Union Square and Madison Square Park.

A JLL Capital Markets team that included Senior Managing Directors Andrew Scandalios, Jeffrey Julien and Rob Hinckley and Managing Director Steven Rutman, arranged the transaction.

Canvas founder and CO Robert Morgenstern commented, “210- 220 East 22nd Street presents our ownership group with a rare opportunity to acquire over 200 units in a full-service asset with upside at an attractive yield. Canvas is thrilled to launch its partnership with Declaration Partners and Tokyu Land US Corporation. Our firm has extensive experience owning and operating luxury multifamily in Gramercy Park, one of the strongest submarkets in NYC. We are pleased to add this asset to our growing portfolio.”

“Gramercy Park has historically been and continues to be one of the most supply-constrained submarkets in New York City. For those working in the Midtown South tech sector or First Avenue medical corridor, 210-220 East 22nd Street offers a coveted walkable commute and a dynamic neighborhood to live,” Hinckley added.

Ben Cherney, Senior Vice President and Head of US Acquisitions of Tokyu Land US Corporation, stated, “We are excited to collaborate with Canvas and Declaration, both very experienced sponsors, to acquire this institutional-quality asset, furthering our commitment to strategic growth in our key target markets, in particular NYC.”

JLL is a leader in the New York tri-state commercial real estate market, with more than 2,600 of the most recognized industry experts offering brokerage, capital markets, property/facilities management, consulting, and project and development services.

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Canvas Property Group is a leading Owner Operator of NYC Multifamily and mixed-use assets. Serving as GP, owner and operator as third party in a management, leasing and construction role across nearly 2,000 NYC apartments servicing several Fortune 100 institutions for the management and leasing of luxury NYC multifamily. Principles of Canvas have several decades of experience and have closed Billions of dollars in transactions. Visit Canvas Property Group

Tokyu Land US Corporation ("TLUS"), with offices in Los Angeles and New York, is a fully owned subsidiary of Tokyu Fudosan Holdings Corporation, which has over $20 billion of owned assets with additional 3rd party assets under management. With discretionary capital available from its balance sheet and a flexible investment mandate, TLUS is capable of pursuing opportunities across capital structure and risk spectrum in multifamily and industrial sectors in most major gateway markets in the US, with a focus on fundamental value creation.