Alex Rodriguez overpays for 340 East 51st Street

Stonehenge’s Ofer Yardeni, Alex Rodriguez, and Adam Modlin have entered into contract to acquire 340 East 51st Street from Allen and Ben London’s Solstice Residential Group for “under $100 million”. The multi-family property spans 88,658 SF, and contains 114 apartments (100 are free market). 

• Stick to baseball: Marketing materials show that the Turtle Bay property generates a projected NOI of $2,705,761. At a sales price of $80 million, that would be a 3.38% cap rate. Expense line items and rents don’t reveal significant upside. 

• Yardeni doing his best Adam Neumann impersonation: He told the NYPost, “there was no set up and no information. I needed to send my team to do the due diligence and move like a Navy Seal.” This deal has been on the market for over three years!!