Adellco Eyes Finish Line for Flatiron Condo Conversion

A conversion of a former publishing house in the Flatiron District is approaching a pivotal moment.

Adellco is set to begin sales at The Armorie in the spring, the New York Business Journal reported. The 20-unit luxury condominium is expected to welcome its first residents in next year’s first quarter.

“We were passionate about preserving the building’s past while creating exquisite brand-new spaces, both private and shared, for discerning buyers,” president Matthew Adell said in a statement.

Months into the pandemic, Adellco purchased the property at 114 East 25th Street from crowdfunding firm Prodigy Network and Shorewood Real Estate Group for $41.3 million. Last year, the landlord took out a $30.5 million mortgage, originated by Arbor Realty Trust.

Prodigy previously acquired the property in 2016 for $51 million; investors needed to pony up a minimum of $50,000 to be part of the investment group.

After its acquisition, Adellco tapped Andre Kikoski Architecture to assist in redeveloping the 48,000-square-foot boutique office building. The condos will be priced between $1.5 million and $8 million, with sales being led by Corcoran Sunshine Marketing Group. Amenities at the property will include a wet bar, a gym, a roof deck and a lounge.

Adellco has led a couple of ground-up developments in New York City but has also tried its hands at redevelopments.

In 2016, Adellco got to work on an eight-unit, 15-story condominium project at 27 East 79th Street, only a few doors down from former Mayor Michael Bloomberg’s Upper East Side mansion.

More recently, Adellco spearheaded the conversion of a historic Upper East Side hotel into luxury condominiums, which was also financed at one point by Arbor Realty Trust. Adellco purchased the century-old Hotel Wales on the corner of East 92nd Street and Madison Avenue for $56 million in 2018, later filing plans to convert the 10-floor building into 21 luxury condominium residences and a top-floor penthouse across 53,000 square feet.

— Holden Walter-Warner