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5 Strategic Moves: How ABS Partners Real Estate Is Redefining NYC’s Commercial Landscape In 2025

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ABS Partners Real Estate stands as a formidable, investment-led services firm in the heart of the New York City commercial real estate market, demonstrating a strategic agility that is particularly critical as of late 2024 and heading into 2025.

Known for its vertically integrated approach, the firm has not only navigated the post-pandemic shifts in office and retail sectors but has also aggressively pursued value-add opportunities, from complex ground lease acquisitions to multi-site portfolio sales. This deep dive explores the company’s foundational strength, its key leadership, and the most recent, high-impact transactions that are setting the stage for its future growth in the competitive NYC landscape.

ABS Partners Real Estate: A Profile in NYC Commercial Agility

Founded in 1999 by a group of former Helmsley-Spear executives, ABS Partners Real Estate was established with a clear mission: to combine a deep understanding of investment strategy with comprehensive, hands-on operating expertise. The firm quickly became known for its ability to handle complex real estate matters across various asset classes.

Founding & Key Leadership

  • Founded: 1999
  • Headquarters: New York City, NY
  • Core Business: Investment-led real estate services, including ownership, property management, and brokerage.
  • Earle S. Altman: Founder & Chairman Emeritus
  • Gregg L. Schenker: Founder, President & Co-Managing Partner. Schenker is a driving force behind the firm’s investment and management philosophy, focusing on building long-term partnerships.
  • Peter Burack: Founder & Co-Managing Partner

Comprehensive Service Portfolio (Topical Authority Entities)

ABS Partners operates as a full-service firm, offering a range of capabilities that provide topical authority across the entire real estate lifecycle. Their services include:

  • Owner-Advisory Services: Strategic consulting for property owners.
  • Property Management: Day-to-day operations and maintenance for a diverse portfolio.
  • Investment Sales: Facilitating the acquisition and disposition of commercial assets.
  • Brokerage: Landlord representation and tenant representation, particularly in the Manhattan office market.
  • Development & Ground Lease Expertise: Specializing in complex, long-term lease structures and value-add redevelopment projects.

The $150 Million Vision: The 515 West 57th Street Ground Lease

One of the most significant and forward-looking moves by ABS Partners involves a pivotal ground lease acquisition in Hell’s Kitchen, Manhattan. This transaction underscores the firm's strategic focus on assets with high redevelopment potential, moving beyond traditional office space.

The firm acquired the ground lease for the property at 515 West 57th Street, a rare Manhattan location that currently houses a production studio. This move is not merely an investment but a major strategic play in the evolving New York economy, which has seen a massive growth in the film and media production sectors.

The acquisition of this ground lease, which commenced in December 2019 and runs for a long term, positions ABS Partners to undertake a massive, estimated $150 million redevelopment. The plan is reportedly to develop a 500,000-square-foot film studio complex, capitalizing on the high demand for modern, large-scale production facilities in New York City. This project demonstrates a keen ability to identify and execute on major market shifts, transforming underutilized assets into high-value, specialized properties.

Key Transactions and Portfolio Resilience

ABS Partners’ recent activity showcases a diverse and resilient strategy, encompassing both high-value Manhattan assets and essential service-based properties across the boroughs. These deals highlight their expertise in complex financial structures like the sale-leaseback model and long-term ground leases.

1. Multi-Borough Sale-Leaseback Portfolio

A notable transaction that defines their portfolio strategy was the $25.3 million sale-leaseback of 12 Pay-O-Matic (POM) locations. This deal spanned four of New York’s five boroughs—Manhattan, Brooklyn, Queens, and the Bronx—demonstrating the firm's reach and understanding of the essential retail and service sector. Sale-leasebacks are a sophisticated financing tool, allowing the operator (Pay-O-Matic) to monetize its real estate assets while securing a long-term tenancy, a win-win structure that ABS Partners expertly facilitates.

2. Notable Core NYC Holdings

The firm maintains a strong core portfolio of well-known Manhattan assets, which are critical to establishing their presence in the commercial office sector. These holdings include prominent addresses like 915 Broadway, 162 5th Avenue, 200 Park Ave South, and 270 Madison Avenue. These properties, often situated in high-demand areas like the Flatiron District and Midtown South, represent stable, high-quality assets that contrast with their more speculative redevelopment projects.

3. Strategic Long-Term Leases

Beyond the 57th Street studio, Co-Managing Partner Gregg L. Schenker, along with Randy Modell, was involved in signing a 75-year ground lease in Manhattan. The focus on securing long-term ground leases is a key differentiator for ABS Partners, indicating a patient, generational investment strategy that prioritizes control over the land and the ability to capture future appreciation and redevelopment value.

ABS Partners and the 2025 NYC Market Outlook

As the New York City commercial real estate market stabilizes, with 2025 predicted to be a pivotal year, ABS Partners’ strategy is perfectly aligned with emerging trends.

Market forecasts suggest an increased demand for smaller office rentals, specifically in the 2,000 to 7,500 square foot range, a trend the firm’s brokerage and property management teams are well-positioned to address within their existing portfolio. Furthermore, the overall market is showing positive movement toward high-quality, prime assets, which validates ABS Partners’ focus on well-located, professionally managed properties.

The firm’s involvement in the W New York – Union Square re-opening, mentioned in their recent news, also points to their engagement with the hospitality and mixed-use sectors, which are seeing a resurgence in key Manhattan submarkets. Their forward-thinking investments in sectors like media production (the 57th Street studio) and life sciences demonstrate a clear understanding that the future of NYC real estate lies in diversification and specialization, moving away from a singular reliance on traditional commodity office space.

By leveraging their expertise in owner-advisory, investment sales, and complex financial instruments, ABS Partners Real Estate is not just reacting to the market; they are actively shaping it. Their continued focus on strategic partnerships, as embodied by their motto, "We Build Partnerships That Last," ensures their sustained relevance and growth in one of the world's most challenging and rewarding real estate environments.

5 Strategic Moves: How ABS Partners Real Estate is Redefining NYC’s Commercial Landscape in 2025
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