NEW YORK, Feb. 3, 2023 /PRNewswire/ — KPG Funds’ 446 Broadway, “L’Atelier” office building was awarded “Best Office Development” by Commercial Property Executive’s CPE Influence Awards 2022.
Gold, Silver, and Bronze accolades were awarded to top developments, investments, business strategies and people in 11 different categories.
“We are honored to accept this award and the confirmation that what KPG Funds created was a very special office building that stands out as an example of what today’s offices need to look like to attract tenants,” said Greg Kraut, co-founder and CEO at KPG Funds.
KPG Funds bought 446 Broadway (L’Atelier) in 2018 and did a gut renovation to align the look and feel of the landmarked, five-story 100+-year-old office building with its surrounding Soho neighborhood.
KPG’s proprietary design team commissioned focused on combining higher form and function as well as to create workspaces and pre-built office suites with a design inspiration that mirrors the conveniences and finishes that are more often found in high end boutique hotels and luxury condominiums.
“Our tenants love to be there, surrounded by beautiful modern bespoke offices, open kitchens with marble islands, and bathrooms with the latest technological and sustainability features,” said Kraut, who personally shopped for all of the fixtures, artwork and antique pieces featured in the properties as KPG handled all the “design aesthetics” development in-house.
Leasing at the 40,000-square-foot property, first constructed in 1915, started in 2021. Today the building is fully leased, with full updates to lobby, elevator, staircase, facade, windows, fire escapes and three skylights on the top floor and a new rooftop deck.
KPG also installed a new HVAC system with air purification and high-speed internet, Open Path hand free access, new plumbing, electricals and mechanicals.
KPG Funds described the secret sauce behind its investment thesis: buy “architecturally significant” but aging Class B and C properties and convert them to modern Class A properties, eventually selling them at a premium.
“The challenge is we are filling a “high-end niche void that’s missing in the market,” added Kraut. “We purchase boutique office properties in supply-constrained areas. We go to areas like Soho where there’s still a lot of demand for office product, but not a lot of institutional players. We want to put institutional overlay to the middle market.”
SOURCE KPG Funds