This Week's N.Y. Deal Sheet
In the first Deal Sheet of 2020, we are going back to before Christmas to account for the major deals — including a dozen nine-figure loans — that closed over the last few weeks.
TOP SALES
Ben and Jon Soleimani’s ABJ Property sold a 31-building portfolio in Harlem for $118M late last year to an entity tied to Yechiel Newhouse, The Real Deal reports. The properties feature 408 units, most of which are rent-stabilized. New York Community Bank loaned Newhouse $90M for the purchase.
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LIHC Investment Group, Belveron Partners and Camber Property Group acquired 1,275 units across eight Mitchell-Lama buildings in the Bronx. The partners paid seller Cammeby's International Group $166M for the portfolio, they said in a press release. Along with the homes, the buildings have 10 commercial spaces. There are 408 units and eight commercial spaces at 2111 Southern Blvd. and 800-820 East 180th St.; 536 units at 1880 and 2000 Valentine Ave., 1985 Webster Ave. and 2100 Tiebout Ave.; and 331 units and two commercial spaces at 355-365 East 184th St. and 333 East 181st St.
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McDonald’s sold its Midtown retail building at 429 Seventh Ave. for $35M, The Real Deal reports. The property, which spans 5,800 SF, sold to an LLC called Buvet Fee Owner.
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Innovo Property Group bought 511 Barry St. in the Bronx for $54.3M, the company announced in a release. Granite Point Mortgage Trust Inc. provided a $46.3M loan for the acquisition of the 140K SF warehouse in the Hunts Point neighborhood. Baldor Specialty Foods was the seller, per Crain’s New York Business.
TOP FINANCING DEALS
Blackstone led a group providing $720M to the owners of Industry City to refinance the Sunset Park development, Commercial Observer reports. Bank of China, Deutsche Bank and SL Green also provided financing in the deal. The funds replace a $647M loan that Bank of China and SL Green provided in 2017. Iron Hound Management arranged the financing. Industry City is owned by Jamestown Properties, Belvedere Capital, Angelo Gordon & Co., Cammeby’s International and FBE Limited.
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Savanna locked down $880M to recapitalize One Court Square, where Amazon had once agreed to lease 1M SF, Commercial Observer reports. Funds managed by Apollo Global Management backed a $580M senior loan, SL Green provided $100M of subordinate debt, and Junius Real Estate Partners provided $200M in preferred equity. Amazon backed out of the deal when it pulled out of HQ2 in Long Island City last year — Savanna replaced it with a 500K SF lease to Centene Corp. Cushman & Wakefield‘s Adam Spies, Doug Harmon, Marcella Fasulo, Adam Doneger and Josh King arranged the equity, per CO. JLL’s Kellogg Gaines, Aaron Neidermayer and Brian Buglione also represented Savanna.
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Madison International Realty and Urban American Management locked down $275M to recapitalize 1,400 workforce housing units in New York City and Westchester County. The addresses were not announced in the release, but The Real Deal reports that $76.8M worth of the sales have shown up in city property records.
Urban America sold to Madison International 25-21 31st Ave. in Astoria for $20.7M, 25-74 33rd St. in Astoria for $16.6M, 213 Bennett Ave. in Hudson Heights for $15M, 106 Fort Washington Ave. in Washington Heights for $13.3M and 170 North Fifth St. in Williamsburg for $11.2M, per TRD. Urban American will continue as day-to-day operator and manager of the 15-building portfolio, per the release.
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Brookfield Property Partners and the Qatar Investment Authority scored $479M from Bank of China to refinance the Eugene, the residential tower at Manhattan West. The loan features $33M in new financing, per The Real Deal.
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Clarion Partners and MHP Real Estate Services scored $372M from ING Capital, The Real Deal reports, for the office building at 180 Maiden Lane. The financing includes almost $334M refinancing and a $37.8M building and project loan. Eastdil Secured arranged the deal.
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Extell Development locked down $440M in financing and bought out its partners at its assemblage on Fifth Avenue, PincusCo reports. JPMorgan Chase and another bank provided a $340M senior loan, and $100M in mezzanine debt came from South Korea’s Meritz Financial Group. Extell bought out Hong Kong’s Meridian Capital Limited’s stake in the 13-parcel assemblage between 46th and 47th streets. It also bought out SL Green’s stake in the parcel at 562 Fifth Ave., PincusCo reports.
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Simon Dushinsky's Rabsky Group and Joel Gluck’s Spencer Equity scored $70.5M from Bank Leumi USA for their Broadway Triangle development, The Real Deal reports. The financing replaces a $65M loan Centennial Bank provided in 2018.
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Gotham Organization and RiseBoro Community Partnership locked down $446.1M from the Housing Development Corp. and the Department of Housing Preservation and Development for their Hunters Point South mixed-use development, The Real Deal reports. HDC provided $311M in construction financing, $229M of which is a participation loan with Wells Fargo and JPMorgan Chase, per TRD. HPD provided $134.4M. The project is slated to feature more than 1,000 residential units across two towers.
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ACORE Capital provided GFP Real Estate and King Street Properties $156M for their life sciences building in Long Island City, The Real Deal reports. The Carlyle Group is a partner on the project. The developers are building the 267K SF structure at 45-18 Court Square.
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Jamestown, George Comfort & Sons and Loeb Partners Realty locked down $410M from Wells Fargo for the New York Life Building at 28 East 28th St., The Real Deal reports. The financing replaces Bank of China's $313.5M loan from 2016.
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M&T Bank and Bank of New York provided a $460M construction loan to Greenland Forest City Partners and the Brodsky Organization for the tower at 18 Sixth Ave. in Brooklyn’s Pacific Park, The New York Post reports. The building is set to feature 858 rental apartments and has a planned opening date of 2022.
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Levin Management Corp. and Rosemark Management locked down a $200M commercial mortgage-backed security loan from JPMorgan Chase for the Paramount Building in Times Square between West 43rd and 44th streets, law firm Shipman & Goodwin LLP, which advised on the deal, announced. The deal closed in December.
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The McSam Hotel Group locked down $250M from S3 Capital Partners, the lender announced in a release. The financing is for the purchase and construction of 150 West 48th St., a planned Midtown hotel. The money features a $210M first lien and a $40M mezzanine loan. Emanuel Westfried arranged the financing.
TOP LEASES
Debevoise & Plimpton LLP is leasing 530K SF at The Spiral at 66 Hudson Blvd., Tishman Speyer announced Tuesday. The deal is for 20 years and the company will be moving from 919 Third Ave. in 2022. The deal brings the 2.8M SF building to more than 50% leased, with Pfizer having agreed to take 800K SF, along with AllianceBernstein, which is leasing 180K SF. The building is set to open in the second half of 2022. Tishman Speyer was represented in-house while Debevoise & Plimpton was represented by Moshe Sukenik, Chris Mongeluzo and Brian Cohen of Newmark Knight Frank.
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Before 2019 ended, Brookfield signed another lease at One Manhattan West, its first Far West Side office skyscraper. Hedge fund Pharo Management agreed to a 20K SF, 14-and-a-half year lease at the tower, Commercial Observer reports. The company will move from its Sixth Avenue offices into part of the 56th floor in the new building. Asking rent in the deal was $130 per SF, according to CO. NKF's Brian Goldman and John Moran represented the tenant in the deal, and Bruce Mosler, Josh Kurloff, Rob Lowe, Ethan Silverstein and Matthias Li of Cushman & Wakefield worked with Brookfield's leasing team on the other side of the table.
