NEW YORK, March 28, 2019 /PRNewswire/ — National real estate investor and developer Lightstone today announced a new partnership with wealth management consulting firm The PKS Group, led by Peter K. Scaturro, former CEO of U.S. Trust and Partner at Goldman Sachs Private Wealth Management. The platform will finance the acquisition and development of real estate projects located within Opportunity Zones, offering individual single-asset investment opportunities.
The first development in the platform is a 203-key Marriott Moxy hotel in Williamsburg, Brooklyn conveniently located among the neighborhood’s many notable bars and restaurants, ideal for the Moxy visitor. The Williamsburg location will be Lightstone’s fifth Moxy in New York City, joining the 612-room flagship property in Times Square which opened in 2017, the newly-opened Moxy Chelsea, and two properties under development in the East Village and on the Lower East Side. With additional Moxy properties under development in Miami and Downtown Los Angeles, Moxy Williamsburg will be the company’s seventh Moxy nationwide.
“We’re pleased to bring together the real estate investment and development experience of Lightstone and the capital raising experience of PKS,” said Lightstone founder David Lichtenstein. “With this first investment, we will be building upon Lightstone’s substantial track record in hospitality development, which positions us as a uniquely qualified opportunity zone sponsor. We look forward to working with PKS and to building our Opportunity Zone platform together.”
“What distinguishes Lightstone from other sponsors is its extensive development capabilities. With its accomplished in-house team and over $3.5 billion under development, Lightstone offers a breadth of experience that’s hard to match,” said PKS founder Peter Scaturro. “Typically, our clients prefer to make direct investments rather than to invest in blind pools. Lightstone already controls several development-ready properties in identified Opportunity Zones, with our development already underway in Williamsburg. We see that as a significant advantage for our clients.”
Opportunity Zones, which are designated by state governors and the U.S. Treasury Department, were created under the Tax Cuts and Jobs Act (TCJA) to spur investment in economically challenged areas by providing tax incentives to investors.
Lightstone, founded by David Lichtenstein, is one of the largest and most diversified privately held real estate companies in the United States. Lightstone is active in 28 states across the country, developing, managing and investing in all sectors of the real estate market, including residential, hospitality, commercial, and retail. With over 178 existing properties, Lightstone’s over $6 billion portfolio currently includes over 4.5 million square feet of office, retail and industrial commercial properties, over 15,000 residential units, and 4,300 hotel keys. Lightstone also owns over 12,000 land lots across the country.
Headquartered in New York City, Lightstone continues to grow its development portfolio with over $3.5 billion currently under development in the residential and hospitality sectors spread across New York City, Los Angeles, and Miami.
About PKS Group
The PKS Group, LLC is a consulting firm founded by Peter K. Scaturro, former CEO of US Trust and former Goldman Sachs partner responsible for the Global Private Client business. Collectively, PKS Group’s senior partners have over a century of experience advising and providing tailored investment solutions to ultra-affluent families and their advisors.
Teddy Wilson Simmons