A two-building office complex at 3 Huntington Quadrangle in Melville has been sold for $69 million, nearly double the price it fetched two years ago.
The four-story, 408,917-square-foot complex is 99 percent leased to "high-credit" companies, including Northwell Health, Travelers Insurance Co. and Santander Bank, according to a release by brokerage CBRE, which arranged the sale. The buyer is a private group of investors "largely based out of Brooklyn," said Jeffrey Dunne with CBRE.
In 2016 the property was sold to a joint venture between Garden City-based real estate developer Treeline and KABR Group, a Ridgefield Park, New Jersey-based real estate owner and operator, for $35.77 million. J.P. Morgan Asset Management was also listed as an owner in the release.
After the purchase two years ago, the property underwent a "major capital renovation," which included improvements to its cafe, bathrooms, communcal conference room, elevators and common areas, CBRE said in the release. The property was built in 1971.
“Our business plan for 3HQ was to invest in enhancing the profile of the building through major capital improvements, including a full elevator modernization, a new main lobby design and a modern cafe,” Michael Schor, chief investment officer of Treeline, said in a statement. “This program was well received in the market, allowing us to stabilize the tenancy and achieve our objectives for the asset on time and on budget.”
Dunne said the sale price also rose because the owners obtained a long-term lease with Northwell Health, which occupies around 120,000 square feet at the site, and leased 36,000 square feet of space to Catholic Health Services of Long Island.
"It helps a deal when you have long-term leases,” Dunne said.
In addition to Dunne, Steven Bardsley and Travis Langer of CBRE’s Institutional Properties Group and Philip Heilpern and Robert Seidenberg of CBRE's Long Island office represented the sellers in the deal.
Correction: An earlier version of this story listed an incorrect tenant for the property.