Rudder Property Group's Office Condominium Unit
1,315 RSF in the Bar Building, completed June 2019
- Size
- 1,315 RSF
- Total Investment
- $1,756,000
- Per RSF
- $1,335
- Loan to Cost
- 83%
- Completed
- June 2019
The Purchase
In June 2019, Rudder Property Group completed the construction of our recently purchased office condominium at the iconic Bar Building, 36 West 44th Street, Suite 1411. We are pleased to share the details of the purchase to help other companies going through the office condominium purchase process.
As specialists in commercial condominium sales, we believe in full transparency, and hope our own experience provides a useful reference point for prospective buyers weighing ownership against a lease.
Financial Breakdown
| Category | Total | Per RSF |
|---|---|---|
| Purchase Price | $1,456,000 | $1,100/RSF |
| Construction Costs | $250,000 | $190/RSF |
| Closing Costs | $50,000 | $38/RSF |
| Total Investment | $1,756,000 | $1,335/RSF |
Financing
- Equity
- $306,000
- Loan Amount
- $1,450,000 (83% loan to cost)
- Interest Rate
- 4.5%, 25 year amortization
- Ownership Costs (incl. mortgage)
- $120,000/yr ($91.25/RSF), 25% toward principal
- Common Charges / RE Taxes
- $22,000/yr ($16.72/RSF)
The Space
The unit was built out over roughly six months: a full-height glass wall system, new HVAC, lighting controls, and flooring throughout, designed around an open layout with a single enclosed conference room.
Owning rather than leasing fixed our occupancy cost for the long term. A quarter of the annual mortgage payment goes to principal, so a meaningful share of what would have been rent now builds equity instead.
