A Hell’s Kitchen development site has sold for just just $1 million more than it was purchased for back in 2008, The Real Deal reports. Elad Group, owner of the Plaza Hotel, paid $43 million to Magna Hospitality Group for the vacant 20,010-square-foot lot at 505-513 West 43rd Street.
Rhode Island-based Magna purchased the property from hotelier Sam Chang’s McSam Group for $42 million in 2008 with reported plans to build a 198-room budget hotel on the site. But brokers at HFF last year began shopping the property asking $50 million, the Commercial Observer reported.
The site is located just north of the Hudson Yards area where developers are investing billions of dollars in a bevy of new developments, The Real Deal wrote. The property sits on top of an active Amtrak line and any new potential development reportedly requires two permits from the city’s Universal Land Use Review Procedure.