576 Fifth Avenue sold for $101M

After nine months on the market, Severn Realty Partners’ mixed-use building in the heart of Manhattan’s Diamond District has sold for $101 million.

The nearly 80,000-square-foot, 12-story building at 576 Fifth Avenue, on the corner of 47th Street, has been home to several prominent diamond dealers, including Peter J. Germano Jewelers. Severn first placed it on the market in October, asking $113 million.

The buyer was SJD, an LLC incorporated in Delaware, according to public records. Lawrence Taylor was the authorized signatory for the entity, which took out a $60 million mortgage from KEB Hana Bank for the acquisition.

Paul Massey’s B6 Real Estate Advisors represented the seller, which had held the property more than four decades.

B6’s Zach Redding said the buyer’s identity can’t be disclosed due to a confidentiality agreement.

The property is about 50 percent occupied at this point. It’s unclear what the future holds for the tenants as the buyer did not disclose its plans for the property, Redding said.

Despite challenging market conditions brought on by the pandemic, multiple parties expressed their interest in the mixed-use, office and retail property, Redding said. Not many buildings on Fifth Avenue have traded hands since the onset of the pandemic, but this nine-figure sale price should give the market a “big vote of confidence,” he said.

Records related to the previous sale of this building are not clear-cut. The New York Times reported in January 1978 that Olympos Trading Corp bought it for more than $3.2 million. Crain’s, however, reported in October that the property was last purchased in 1977 for $1.3 million.

The buyer was represented by Compass’ Daniel Chun and Adelaide Polsinelli, in partnership with Sharon Kim Robinson with Silver and Oak Realty.