A century-old Flatiron District workhorse has a new landlord, after Zar Property NY closed on 118 West 22nd Street for $28 million, taking control of roughly 100,000 square feet of office and retail space that has been hanging around the neighborhood since 1911.
Deal and Financing
As reported by Commercial Observer, longtime owner Adlie Associates sold the 12-story mixed-use building to Zar Property NY for $28 million. The acquisition came with a roughly $19.6 million financing package arranged by Filler Capital and underwritten by J.P. Morgan, according to property records. Zar Property and GFP Real Estate, which manages the property, kept quiet and declined to comment to reporters.
Building Details
Public records and listings describe the property as a circa-1911, 12-story structure with about 100,000 square feet of combined office and retail space, plus ground-floor availability that keeps brokers circling. The building profile on StreetEasy tracks the same vintage and size details.
Tenants and History
Over the years, the address has drawn a mix of design, bridal, and baking names. Notable tenants have included Walter B. Melvin Architects and Kleinfeld Bridal, and prior reporting notes that NY Cake inked a 10,500-square-foot retail lease at the property in 2018. Deed filings and coverage indicate that Adlie Associates picked up the building in 1986, and the structure was designed by Frederick Zobel, according to Commercial Observer.
Where This Fits for Zar
Zar appears to see 118 West 22nd Street as classic portfolio material. The company highlights the address on its projects page, in line with a strategy of acquiring and repositioning mid-sized office and retail properties across Manhattan. Zar Property NY showcases a roster of downtown assets the firm says it is actively managing and leasing, with 118 West 22nd folded into that mix.
Bottom Line
The $28 million trade, supported by nearly $20 million in fresh financing, is another data point that investors are still willing to write sizable checks for well-located Midtown South buildings, even as the office market keeps reshuffling. Tenants and brokers will be watching to see how aggressively Zar moves on any repositioning or new leasing once the dust settles on the deal.
