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Successful Sale of 54-58 Canal Street in Chinatown, Manhattan
Bob Knakal successfully closed the sale of 54-58 Canal Street, a commercial building in Chinatown, Manhattan that was primed for a residential conversion. This transaction marked a pivotal moment for the Lower East Side neighborhood, where former office assets are being repositioned to meet the growing demand for residential use.
The buyer, Baruch Singer, acquired the asset from High-Net-Worth seller Frank Chan. Located in one of Manhattan’s most culturally rich and evolving districts, the building offered a compelling opportunity to convert a centrally positioned office building into housing—highlighting investor confidence in the long-term prospects of Chinatown’s residential market.
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Sale Details
This successful off-market transaction was secured at $25,000,000, reflecting a price per buildable square foot of $414.39. The deal closed on January 17, 2006, solidifying a strong result for both parties.
Key Deal Highlights:
- Sale Price: $25,000,000
- Buyer: Baruch Singer
- Seller: Frank Chan
- Asset Class: Commercial, Office-to-Residential Conversion
- Date Closed: January 17, 2006
- Total SF/BSF: 60,329
- Price/SF: $414.39
Property Details
54-58 Canal Street, New York, NY 10002, is located in the heart of Chinatown at the crossroads of Canal Street and Ludlow Street. This dynamic location sits within Manhattan’s Lower East Side submarket, known for its unique cultural mix and increasing residential demand.
While not located in a historic district, the building’s structure and zoning made it highly adaptable for residential reuse. Its corner lot visibility and floor area provided substantial upside for redevelopment.
Investment Highlights:
- Year Built: Not disclosed; sold as a conversion opportunity
- Stories: Information not disclosed
- Total SF/BSF: 60,329
- Zoning: Conversion to Residential Permitted (per deal context)
- Full Address: 54-58 Canal Street, New York, NY 10002
Market Strategy and Positioning
Chinatown is undergoing a quiet but impactful transformation. As developers face tight competition in more traditional luxury corridors, they’re looking southward to areas like the Lower East Side and Chinatown, where rezoning opportunities and shifting demographics allow for long-term value creation.
This deal reflects the trend of repurposing underused commercial buildings into residential product—an especially strategic play as work-from-home culture moderates the need for office square footage in certain areas. The proximity to Lower Manhattan, excellent transit access, and rich neighborhood character made 54-58 Canal Street particularly compelling for repositioning.
Neighborhood Overview
Chinatown is one of New York City’s most storied neighborhoods. Known for its vibrant street life, culinary destinations, and cultural heritage, it’s increasingly becoming attractive for both end-users and investors looking to capitalize on transitional opportunities.
Neighborhood Highlights:
- Located just blocks from the Manhattan Bridge and FDR Drive, offering excellent connectivity.
- Steps from Dimes Square, Essex Market, and Sara D. Roosevelt Park.
- Popular with creative professionals and young residents seeking authentic urban experiences.
- Subway access via the Canal Street Station (J, Z, 6, N, Q, R) provides easy transit across boroughs.
Conclusion
The $25,000,000 sale of 54-58 Canal Street underscores the importance of adaptive reuse in the evolving landscape of Manhattan real estate. Situated in Chinatown, a neighborhood balancing deep-rooted history with ongoing transformation, the property attracted a seasoned investor seeking to capture long-term upside through conversion.
With strategic positioning, deep market knowledge, and consistent client engagement, Bob Knakal once again demonstrated the value of proactive brokerage in unlocking the potential of overlooked assets.
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Frequently Asked Questions
Q1: What type of building is 54-58 Canal Street?
It is a commercial building that was sold for conversion from office to residential use.
Q2: Why was this property attractive to investors?
Its location in Chinatown, large floor area, and zoning flexibility made it ideal for a residential conversion amid changing market demands.
Q3: How large is the property?
The property has a buildable square footage of 60,329, translating to approximately $414.39 per buildable square foot.
