Latest Stories In: Real Estate
Lower East Side’s Blue Moon Hotel Now Asking $16.5M
For this Lower East Side hotel, an actual sale happens once in a Blue Moon; and that time still has not arrived. The boutique lodge at 100 Orchard Street has been on the open market for the better part of a decade. Seven years, to be precise. In that time, the asking price rode the Cyclone, so to speak, accelerating to $35 million then hitting the steep drop to the most recent value of $19.5 million. Damn, we get whiplash just thinking about it!
Anyway, we bring this up because the 22-room property now lives with a different broker and a slightly lower ask. Eastern Consolidated currently reps the Blue Moon, peddling it for a price-chopped $16.5 million. Additional selling point is the “potential future use” which could be a bar or restaurant catering to the crowds.
The ground floor serves as a spacious hotel lobby for guests and their visitors and is more than ample in size to accommodate a number of potential future uses, such as a bar and restaurant that would cater to hotel guests as well as the tremendous volume of pedestrian traffic throughout the Lower East Side and on Orchard Street in particular. The ownership of the Blue Moon Hotel will continue to benefit from the strong in-place cash flow generated by the current well-established hotel operations as well as significant future upside through a reconfiguration of all or part of the building into a number of different uses.
It’s also worth noting that in 2011, the Wall Street Journal estimated that the hotel is probably only worth somewhere in the $10 million range.
Get comfortable, this story is nowhere near completion…