SoJo Spa Owner Buys Office and Retail Building at 893 Broadway for $31M

Why It Matters

The acquisition highlights growing interest from hospitality entrepreneurs in Manhattan’s office‑retail market, suggesting diversification of spa concepts into mixed‑use assets. It also signals continued investor confidence in Flatiron’s commercial real estate despite broader market volatility.

Key Takeaways

• Hyun Jun An paid $31M for 893 Broadway, a mixed‑use building.
• Purchase financed with $20M loan from Bank of Hope.
• Property previously bought for $26.5M in 2015, modest appreciation.
• Existing ground‑floor tenant is mattress retailer Saatva.
• An also bought 16 East 18th St for $16.3M, expanding portfolio.

Pulse Analysis

The $31 million purchase of 893 Broadway marks a notable entry of a hospitality operator into Manhattan’s commercial property arena. Hyun Jun An secured a $20 million loan from Bank of Hope, leveraging the LLC 893 Jobway to close the deal. The five‑story structure, originally a hotel before its conversion to mixed‑use office and retail space, features a restored 19th‑century cast‑iron façade, a penthouse, and two outdoor terraces. Existing tenant Saatva, a premium mattress retailer, occupies the ground floor, providing immediate cash flow while the upper floors remain flexible for future tenants.

Flatiron’s office‑retail corridor has attracted renewed capital as firms seek locations that blend high‑visibility retail with adaptable office layouts. An’s acquisition, following his recent $16.3 million purchase of 16 East 18th Street, underscores a broader trend of niche operators diversifying into real estate to control brand environments and capture ancillary revenue streams. The modest appreciation from the 2015 $26.5 million price reflects steady demand in a market where vacancy rates have tightened and rents remain resilient despite macroeconomic headwinds.

Looking ahead, An could repurpose portions of 893 Broadway for his Korean luxury spa concept, aligning with a growing consumer appetite for experiential wellness destinations in urban cores. Such a move would add a premium service layer to the building’s tenant mix, potentially boosting foot traffic for existing retailers like Saatva. Even if the spa does not materialize, the acquisition positions An as a versatile investor capable of capitalizing on mixed‑use opportunities, a strategy that may inspire other hospitality brands to explore similar real‑estate ventures in high‑density districts.