By: Alex Phillipidis
Ivy Equities L.L.C. of Clifton, NJ plans to renovate the three class A office buildings that it recently purchased in Westchester from The Principal Financial Group.
New entrances and lobbies, and some new exterior work will be included in the work to be performed at the almost 118,000 square-foot 2975 Westchester Ave. in Purchase, the 85,000 square-foot 244 Westchester Ave. in White Plains (town/village of Harrison) and the 110,000 square-foot 411 Theodore Fremd Ave. in Rye.
Ivy purchased all three buildings in December for a combined $33 million - part of the $58 million Des Moines based Principal received for selling seven of its Westchester properties to three separate owners. Principal acquired almost all of its Westchester buildings from their original developer, pioneer Platinum Mile builder Lowell M. Schulman, in 1992 to satisfy mortgage debt.
The Stamford, Conn. architectural firm van Summern Group is drafting plans for the renovation work, the cost of which has not been determined. Ivy plans to promote its expanded Westchester holdings at a reception for real estate professionals scheduled for March 30 at 2975 Westchester Ave.
Three Ivy executives discussed the company’s future plans and interest in Westchester’s recovering office market Feb. 17 at the monthly meeting of the Commercial & Investment Division of the Westchester County Board of Realtors, held at the board’s White Plains offices.
Speaking to an audience of about 35 real estate professionals, Ivy Equities president Anthony DiTommaso said the volume of leasing activity at multi-tenant buildings in Westchester convinced Ivy it could profitably buy and refurbish office buildings in Westchester, in spite of the county’s relatively high vacancy rates.
“Our plan is to continue to grow in Westchester. We really think Westchester has a great future,” DiTommaso said.
And if Westchester’s office market continues to grow, he said, Ivy may consider building new office space on a vacant site adjacent to 244 Westchester Ave. for which approvals were granted in 1988. DiTommaso said Ivy is studying the site and past approval to see what it can do there.
For now, Ivy will market spaces at its existing buildings ranging from 500 to 29,000 square feet. Asking rents for Ivy’s three newest Westchester buildings will range in the mid $20’s per square foot, with leases available starting at five-year terms, said Greg Frisoli, an associate with Cushman & Wakefield, the leasing agent for its three new properties.
Ivy first sought to buy those buildings 18 months ago but the price was then too high, DiTommaso said.
Founded in 1996, Ivy set its sights on Westchester two years later, when it acquired the 64,000 square foot Crossroads (33 Main St.) on Route 119 in Elmsford. Last year, Ivy bought the 148,911 square foot Crosswest building at 399 Knollwood Road, on Route 100A in White Plains (town of Greenburgh).
Ivy has renovated both buildings, using plans by Dennis Noskin Architects of Valhalla. Ivy is seeking rents in the high teens for Crossroads and mid-20’s for Crosswest, said Glenn. P. Walsh, managing director with Newmark & Company Real Estate Inc., the leasing agent for both buildings.
About Ivy Realty
Founded in 1996, Ivy Realty, a wholly owned subsidiary of Ivy Equities, is a leading real estate investor and developer throughout New Jersey, New York and Connecticut. Ivy targets investment opportunities in undervalued, high grade, income producing commercial properties. The Company has built a reputation for successfully completing a wide spectrum of creative developments in the office, mixed-use, retail, build-to-suit and residential sectors. Currently, Ivy Realty owns, manages and leases a 3.5 million-square-foot portfolio with added development potential throughout the tri-state area.
For more information contact Ivy Realty at their Montvale, New Jersey headquarters at (201) 573-8400 or visit the website at www.ivy-realty.com.
