Rivington House Sells to Mystery Buyer for $160M

Posted on: September 19th, 2019 at 5:00 am by

The saga of Rivington House continues this week with news of its sale. Indeed, three years after Slate Property Group, China Vanke Co., and Adam America Real Estate together purchased the property, the ownership team is cashing out.

Price paid for the real estate was $116 million; sale price is $159.6 million.

For the moment, buyer of the 1899 school building, formerly a nursing home for AIDS patients, is currently a mystery. Whomever shelled out the cash, though, certainly took great lengths to shield identity through layers of shell companies.

The deep dive into public records indicates that this buyer formed eight different entities for this acquisition on August 30. All are named a variation of “Kranken GP LLC.” These are companies that act as a liability protection and can be used to secure any lending and/or loan deals.

And, get this. In German, “Kranken” is a derivative of “Kranker,” meaning a sick person or invalid. What type of sick joke is that, naming the shell company after the previous function of this community facility?

This $159.6 million transaction is the latest turn for a property mired in scandal these last few years. The Rivington House saga began in early 2016 after then-owner Allure Group paid the city $16.1 million to lift a restrictive deed, then flipped the property to developers Slate Property Group, China Vanke Co., and Adam America Real Estate for $116 million.

Initial plans were for a condo conversion, but incessant community pressure eventually yielded a deal with Mount Sinai to use 130,000 square-feet for its $140 million behavioral health program (The Mount Sinai Comprehensive Behavioral Health Center). They signed a lease earlier this year.

Originally built as a school in 1899, Rivington House was converted to a skilled nursing facility in the early 1990s, serving those living with HIV and AIDS. Upon its sale, 219 beds were lost.

Recent Stories

Gone are the Lulav Vendors of the Lower East Side

The traditional rush to pick up Lulav and Etrog – which always begins after Yom Kippur – is different this year on the Lower East Side. The old-time holdout vendors – who usually peddle at the confluence of Essex, Rutgers, and Canal Streets – are nowhere in sight. No tables, hustle, nor bustle. Their presence […]

Manousheh Readies New Grand Street Restaurant

Manousheh, the popular Lebanese eatery of Greenwich Village, is nearing the finish line for its first expansion. The new restaurant at 403 Grand Street, in the shadow of Seward Park Co-op. The former 7-Eleven space, owned by the co-op and managed by Charles H. Greenthal, is transformed into a large, open layout eatery. Four tables […]

‘Open Streets’ Create Open Trash Mess on Lower East Side

The intersection of Orchard and Broome Streets has become a dumping grounds on weekends, according to several neighbors. Comparisons abound to Hell Square immediately north of Delancey Street. This block, like many others, takes advantage of the city’s “Open Streets” plan that allows restaurants to push onto the streets and sidewalks to serve customers. A […]

Getting by: Hugging Trees with Vicki Rovere on Ludlow Street

In our ongoing series “Getting By,” Lower East Side residents and business owners share, in their own words, how they’re navigating the new normal of pandemic times. In this installment, operator of the longtime Ludlow Street Free Store, Vicki Rovere, penned her thoughts. I live alone, and after a while in lockdown, I really hankered […]

Sam Chang Plans 13-Story Hotel to Replace Chinatown Garage

Another downtown parking garage is doomed for replacement, with a new hotel on the way. Down at 62 Mulberry Street, the five-floor car-park is ready for redevelopment. Prolific hotelier Sam Chang is gunning to construct a thirteen-story beast, with design by frequent collaborator Gene Kaufman Architect. The proposed hotel will boast 103 keys spread across […]