Damianos Realty Group LLC, a Smithtown-based commercial developer and property owner, has announced the $10.6 million purchase of its sixth office building in the Village of the Branch.
The 50,000-square-foot, three-story building, at 50 Rte. 111 in the village in the Town of Smithtown, is 96 percent occupied by tenants, including Merrill Lynch, New York Commercial Bank and State Assemb. Michael Fitzpatrick's district office.
The seller, Melville-based Fairfield Properties, closed on the deal with the developer late last month.
"It fits in perfectly with our portfolio here in Smithtown," said X. Cristofer Damianos, principal of Damianos Realty.
Damianos said the firm expects to invest between $2 million and $3 million in capital improvements, including replacement of the roof and some mechanical equipment, renovation of bathrooms, hallways and elevators, and upgrades to the property's landscaping, exterior and lobby area.
The building, which has about 20 tenants, was constructed in 1984. It "needs to be brought into the fold," Damianos said.
Strategically, the acquisition makes sense for the firm, he added. Owning more properties in a concentrated area gives the developer more flexibility in helping tenants relocate to larger office spaces as they grow. "It definitely gives us an advantage, and it works to the tenant's benefit."
Damianos Realty, founded in 1968, owns about 21 properties throughout Long Island. John LaRuffa of NAI Long Island represented Fairfield. Damianos was represented by John Finn, the firm's director of leasing and acquisitions.