Glenview fund executives are neighbors in new Manhattan luxury tower

Tue Nov 10, 2015 6:11pm EST
 
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By Lawrence Delevingne

NEW YORK (Reuters) - Three employees of hedge fund firm Glenview Capital Management, including billionaire founder Larry Robbins, can expect to cross paths at home as well as work after spending more than $50 million on apartments in the same Manhattan luxury building. 

Robbins bought the top four floors of the building on New York City's Upper East Side for $37.9 million, according to people familiar with the situation. He made the purchase through a limited liability company, CRE Acquisition LLC, which is a common way for the wealthy to shield their real estate acquisitions from the public eye. 

The lavish purchases by Robbins and two lieutenants were closed on earlier this year before Glenview was stung by some bad bets in the healthcare sector, helping depress its main hedge fund, which is down about 12.5 percent this year as of Nov. 6, according to one of the people.

Jeff Patterson, Glenview's head trader and partner, is a short elevator ride down from Robbins, who will occupy the 29 through 32 floors, which includes the penthouse plus additional units he purchased.

Patterson bought the entire 15th floor of the building known as "The Charles" in April for $7.4 million, according to city records. The unit is 3,448 square feet, according to listings from realtor Town Residential, including four bedrooms and four bathrooms.

Glenview research director J.P. Gutfreund is a floor down. Gutfreund and his wife Lauren bought the 14th floor, paying $7.3 million in April, according to city records. Gutfreund is the son of John Gutfreund, the former CEO of Salomon Brothers. It has the same configurations as the 15th floor, according to a listing.

Robbins’ units were configured to have 12.5 bathrooms and 12 bedrooms over 11,747 square feet, according to a listing. Robbins is getting the apartments as a "white box," meaning the space is being customized and will likely vary in terms of rooms and layout. The average size for all recorded condominium sales in New York City since 2003 is about 1,200 square feet, according to CityRealty.

The $37.9 million purchase price was the 40th most expensive in New York City history, according to data tracked by CityRealty since 2003. It is also the most ever paid for an apartment east of Third Avenue, a boundary that many of the city’s wealthiest residents preferred not to cross.   Continued...

 
Luxury building "The Charles" is seen towering over First Avenue on the upper east side of Manhattan in New York, November 9, 2015.   REUTERS/Brendan McDermid