Overview

• CUNY approved a 35-year lease for 558 Grand Concourse with first-year rent of $15.5 million and a 3% annual escalation.
• The agreement gives the university a five-year option to buy the property at a fixed 5% capitalization rate on future net operating income.
• Maddd Equities owns the 1937 landmark, having bought it in July for $44 million, and will lead redevelopment targeting a fall 2028 opening.
• The four-story, 175,000-square-foot building will expand Hostos Community College’s allied health and natural sciences programs, with officials saying it will enable larger graduating classes.
• USPS will retain about 10,000 square feet for customer services, and the roof space used by Zona de Cuba will be incorporated into the new Hostos facility.