Airbnb has purchased 281 Park Avenue South in Manhattan for $81.5 million, its first real estate acquisition in New York City.
The Beaux Arts building, once linked to con artist Anna Sorokin—also known as Anna Delvey—was sold by RFR’s Aby Rosen. The buyer remained undisclosed until journalists confirmed Airbnb’s role. A source familiar with the deal stated Boston-based Symbol Capital Partners is Airbnb’s partner on the deal.
The building’s history and Airbnb’s intentions
The 42,500-square-foot property, constructed in 1894 as the Church Missions House, became widely known in 2017 when Sorokin tried to lease it for a private members’ club. She presented the plan to investors, estimating costs exceeding $40 million and comparing it to Soho House. Her efforts ended when authorities arrested her and later convicted her of larceny and fraud, though she avoided charges related to a $22 million loan for the project.
RFR bought the building in 2014 for $50 million but had difficulty attracting tenants until Fotografiska, a Swedish photography museum, occupied the entire space in 2017. The museum left last year, leaving the property vacant. A 2022 attempt to sell it for $135 million failed.
Airbnb, which already leases space elsewhere in the city, will turn the building into a workspace for its 600-plus local employees. CEO Brian Chesky described the purchase as proof of the company’s long-term commitment to New York, despite regulatory resistance.
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Regulatory tensions persist
New York’s relationship with Airbnb has been difficult since Local Law 18 took effect in 2023, effectively banning most short-term rentals. Listings dropped by about 90% after the law passed, eliminating one of the company’s largest U.S. markets. Hotels, tenant groups, and the Hotel and Gaming Trades Council have strongly opposed efforts to reverse the restrictions.
The company spent nearly $4 million during last year’s elections to support City Council candidates and allies, but those investments have not loosened the rules. A 2024 proposal to suspend the regulations before the World Cup was blocked, and earlier attempts to amend the law have stalled.
Despite the opposition, Airbnb is staying. Newmark’s Adam Spies and Joshua King handled the sale for the company. The building’s new purpose as an employee hub shows Airbnb has no immediate plans to leave, even if its main business remains restricted.
The purchase of 281 Park Avenue South carries symbolic weight. RFR’s sale price reflects a modest profit from its 2014 purchase. The building’s real significance, however, lies in its past: a site of fraud, failed deals, and now, a tech giant establishing a permanent presence.