From Crain’s New York Business by Amanda Fung
Apartments in The Pointe, a 57-unit development in St. George, are back on the market under a new owner at greatly reduced prices. A sister 101-unit project is
still in foreclosure.
A long-stalled condo project in St. George, Staten Island, is back in gear. Meadow Partners, the new owners of The Pointe, a 57-unit development near the Staten Island Ferry at 155 Bay St., recently re-launched the project. And in just one week of showing the building, two units have already gone into contract, according to Angela Ferrara, vice president of sales at The Marketing Di- rectors, which is the exclusive sales and marketing agent for the development.
“The property was fully operational and the only work that needed to be done was a cosmetic update to the lobby and corridors,” said Ms. Ferrara, adding that the building was about 95% done when Meadow Partners took over. “They just had to put the final finishing touches on the property.”
In fact, previous owner Leib Puretz, a Brooklyn-based developer who up until the financial meltdown had big plans for Staten Island, managed to sell five units at The Pointe. Those buyers currently live in the bu ilding. But in the wake of major financial setbacks, Mr. Puretz defaulted on his loans for The Pointe and his other planned project, a 101-unit condo dubbed The Pearl, at 130 Bay Landing. Capital One began to foreclose on both three years ago.
At that time, Meadow Partners bought the notes on the properties at a deep discount from the bank and took over the projects through a foreclosure. Meadow Partners paid $23 million for the $54 million in notes, according to published reports. The Pearl is still going through the foreclosure process. A number of options, including rental and condo, are being explored for that development.
Meanwhile things are going well at its sister project, where prices for the remaining apartments at The Pointe have been slashed from their pre-crash highs. The asking prices for the one- to two-bedroom apartments range from $300,000 to $485,000. That is down from the original listing price of $390,000 to $589,995 back in 2008.
“We wanted to value the homes based on today’s market,” said Ms. Ferrara. So far, the building is drawing a mostly Staten Island crowd.
“One buyer grew up in Staten Island, moved to New Jersey and is now mov- ing back home to be closer to her family and Manhattan,” said Ms. Ferrara. Manhattan-based Meadow Partners is an international real estate investor and asset manager. It was founded in 2009 by Jeffrey Kaplan, a former Westbrook Partners executive, to invest in proper- ties in the U.S. and UK. Last year, the firm, along with partner Madison Capi- tal and CPP Investment Board, acquired two Manhattan office buildings, 655 Fifth Ave., at 52nd Street, and 100 Broadway.