The Elizabeth Foundation for the Arts has made a bid to purchase the iconic Wolff Building at 508-534 West 26th Street in West Chelsea, aiming to transform it into an artist residency program while preserving the workspace of its longtime tenants. The proposal, submitted in April, represents an ambitious effort to maintain what supporters describe as Manhattan's largest concentration of creative workers in the face of mounting real estate pressures.
The 362,000-square-foot historic warehouse complex was placed on the market earlier this year by attorneys representing the estate of Raymond and Gloria Naftali, who originally listed it for $170 million last December. The building has served as a cultural hub for decades, housing approximately 200 artists, designers, and galleries, including renowned photographer Hiroshi Sugimoto, painter Ross Bleckner, and conceptual artist Glen Ligon, as well as prominent galleries such as Berry Campbell, Galerie Lelong, and Morgan Lehman.
"It is extremely important to preserve what I believe is the largest concentration of creative workers in Manhattan," said Anne-Brigitte Sirois, a principal at Art State LLC who helped formulate the foundation's bid alongside Eagle Point Properties and Art State. "Artists contribute immeasurable cultural value to New York City and play a critical role in sustaining Chelsea's character and real estate strength."
Under the proposed arrangement, the Elizabeth Foundation would own the building while Eagle Point Properties, a private real estate firm, would serve as co-borrower and guarantor. All three parties would share governance responsibilities. The exact offer amount has not been disclosed, but foundation officials envision maintaining the building's existing artist community while introducing shared cultural spaces and professional development resources, including curatorial visits, peer critiques, and networking opportunities.
The foundation's plan mirrors its successful model at its West 39th Street flagship location, where artists have obtained subsidized workspaces through an annual application process since 1998. "This model is not limited to the Wolff Portfolio. It is replicable," Sirois explained. "If not here, then in other buildings where artists and creative businesses already cluster."
The building's uncertain future stems from the death of Gloria Naftali three years ago. While she had hoped the building would remain an artist haven permanently, she did not include a legal directive in her will to ensure this outcome. The Naftalis originally purchased the commercial building fifty years ago and converted it into artist studios, with Raymond dying in 2003 and Gloria co-founding Chelsea's Greene Naftali gallery.
Attorneys representing the Naftali estate claim the building is not profitable enough to support the arts-related initiatives of the Raymond and Gloria Naftali Foundation, of which they serve as trustees. Four offers have emerged for the property, including bids from the Elizabeth Foundation and Bedrock Mini-Storage, an art storage facility located one block west of the Wolff Building. Bedrock declined to comment on their proposal.
"We continue to explore options for the property that would allow us to preserve a substantial portion of the building for the artist community and gallery space," said Derek Wolman, a partner at Davidoff, Hutcher & Citron, which represents the estate. So far, the Naftali trustees have not accepted any offers.
The prolonged uncertainty has created significant challenges for tenants. After Gloria Naftali's death, trustees inserted a clause into new and renewed leases allowing any future owner to evict tenants with only 180 days' notice. This provision has prompted some galleries to reconsider their long-term commitments to the building.
"It's hard for these galleries because they plan exhibitions at least a year out, if not two, and they guarantee these exhibitions on that timeline," explained Paul Michael Graves, an artist and Wolff Building tenant who is producing a documentary film about the building. "That is one of the primary reasons why galleries are looking to leave before any new deal is announced."
Despite the uncertainty, some tenants remain committed to staying. Morgan Lehman Gallery recently signed a five-year lease and has no plans to relocate. "We have been in four locations in the last 20 years in Chelsea, and this building works best for our needs," said Jay Lehman, the gallery's co-founder. "We are hopeful that whoever buys the building will keep it as an affordable creative hub as Gloria had envisioned."
Most artists are also choosing to remain in their studios. In June, tenants organized a demonstration with Manhattan Councilman Erik Bottcher in front of the building to protest its pending sale. While little action has occurred since then, three tenants were evicted over the summer, according to the trustees.
The building continues to show signs of activity despite the uncertain ownership situation. Fashion Week designers have occupied several vacant spaces, and the building's semi-annual open studios event is scheduled to return this weekend. However, Graves questions whether this might be the final open studios event the building will host.
"I have relationships with people in the building, I get wisdom and advice from them. Everything a community stands for exists here," Graves reflected. "It's not just a matter of whether artists need spaces." The fate of this historic artist community now rests in the hands of the estate's attorneys as they evaluate the competing offers for this culturally significant Chelsea landmark.
