Alexander’s (NYSE:ALX) on Monday announced it has entered into an agreement to sell its Rego Park I property in Queens, New York, to Northwell Health for a gross purchase price of $235.5 million.
The unencumbered asset consists of a vacant 338,000-square-foot building and a 1,236-space parking garage situated on 5.9 acres.
Alexander’s expects to receive net proceeds of approximately $202 million after closing costs and other expenses.
The transaction is anticipated to generate a financial statement gain of $147 million and a tax gain of $145 million.
Of the tax gain, approximately $48 million is expected to be recognized in 2025, with the remaining $97 million to be recognized in 2026.
Closing of the sale is subject to customary conditions, including regulatory approvals and other standard closing requirements, and is expected to occur by the third quarter of 2026.