Crain’s: Barnett “In Contract” to Buy Pathmark Site For “Around $175 Million”

The site of the former Pathmark store has been purchased by Gary Barnett.
The site of the former Pathmark store at 227 Cherry Street.

Since last fall, there has been widespread speculation that Gary Barnett’s Extell Development Company planned to build a large residential complex on the site of the former Pathmark store at 227 Cherry Street.  The store closed late last year, representatives of the supermarket chain saying the property had been sold to an unnamed developer.  This afternoon Crain’s is reporting that Barnett is, in fact, in the process of purchasing the site.

According to reporter Daniel Geiger, Extell “is in contract” to purchase the parcel, which is “zoned to accommodate a building of nearly 1 million square feet.”  The purchase price is said to be “around $175 million.”  There is no sourcing in the story.  The sale has not popped up yet in the city finance department’s database.

A broker quoted in the story indicates that interest in Lower East Side real estate is definitely growing due to the development of the 1.65 million square foot Seward Park site along Delancey Street.  Barnett is one of the city’s most prolific developers with a reputation for building over-the-top luxury buildings.