This Week’s N.Y. Deal Sheet
The last unofficial week of summer was a productive one for developers looking to execute complex projects, with major packages secured in Manhattan, Brooklyn and the Bronx.
RXR has landed one of the largest financing deals of the year, securing a $1.3B loan package from Morgan Stanley, Apollo Global Management and American International Group, Bloomberg reports. SL Green had previously lent RXR $139M in mezzanine debt, but is converting that into equity in the building, per Bloomberg. The ownership team is investing $300M into adding new amenities, like a new lobby, elevators, a golf simulator, a fitness center, and meeting and event spaces. The debt runs through 2026, and will be used to finance tenant incentives as the landlord seeks to fill the vacancy EY left when it moved its headquarters to One Manhattan West last year.
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Delshah Capital scored a $147M recapitalization for a 20-story multifamily development in Downtown Brooklyn, according to a release. The total sum from Arbor Realty Trust includes $26M in equity, including funds from from a combination of money raised via crowdfunding platform CrowdStreet and sponsor equity, The Real Deal reported. As part of the recapitalization, Delshah Capital sold the ground underneath 22 Chapel St. to ground lease specialist Safehold for an undisclosed amount, according to The Real Deal.
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RXR also nabbed a $208M senior loan from Bank of America and a $52M mezzanine loan from The Carlyle Group for 75 Rockefeller Plaza, Bloomberg reported last week. The 75-year-old, 627K SF tower’s tenants include Bank of America, WeWork and American Girl, which anchors its retail space on the ground floor. Jordan Roeschlaub and Dustin Stolly of Newmark repped RXR in the transaction.
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A joint venture of Dynamic Star, Namdar Realty Group and Gorjian Acquisitions will get a 12-month, floating-rate $70M loan from Signature Bank and Columbia Pacific Advisors for its Fordham Landing project, Commercial Observer reports. The sum will go toward refinancing the 14-acre development site along the Harlem River at 2475 Exterior St. in the South Bronx. Columbia Pacific’s Will Nelson and Signature Bank’s Ken Stagnari and Joe Fingerman closed the deal with Meridian Capital Group’s Shlomo Weissberg arranging the transaction. The developers are planning a $2B project with housing and entertainment.
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The Vanbarton Group scored a $272.5M refinancing for its 24-story FiDi office tower that will be converted into a 30-story multifamily property at 160 Water St., Bisnow previously reported. Brookfield Real Estate Financial Partners provided the funding, while Cushman & Wakefield’s Gideon Gil, Adam Spies, Kempton Coady and Alex Lapidus represented Vanbarton in the deal.
TOP SALES
Brooklyn-based Goose Property Management has purchased a development site at 358-376 Livingston St. and 60 Flatbush Ave. for $25.5M, according to a release. The site, which is home to several prewar, mixed-use buildings, offers up to 188K buildable SF with residential and commercial zoning close to Downtown Brooklyn. Stephen Palmese, Brendan Maddigan, Michael Mazzara, Winfield Clifford, Ethan Stanton and Patrick Maddigan of JLL Capital Markets arranged the deal between Goose and the portfolio’s long-term owner, Livingston Street Realty Associates.
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Empire Capital and Namdar have agreed to pay $72M for AEW Capital’s 830 Third Ave., a Midtown East office tower on the corner of East 51st Street, The Real Deal reported. The building is reportedly 60% leased, with Cohen’s Fashion Optical and Republic Bank on the ground floor. Plans for the property are unclear, but the investment firm scored a $53M loan from Truist Bank for the acquisition. JLL’s Vickram Jambu and Andrew Scandalios brokered the building sale, while Max Herzog and Aaron Niedermayer, also of JLL, negotiated the debt with Meridian Capital Group’s Elliott Kunstlinger.
TOP LEASES
Skyline Real Estate Partners has signed four new tenants for a total of 21K SF at 20 West 55th St., Commercial Observer reported. Stock brokerage Auerbach Grayson took the entire fourth floor, almost 7K SF, with representation from Cushman & Wakefield’s Joseph Harkins and Georgio Versea. Rehs Galleries took the same amount of space one floor up, on the building’s fifth floor, after being represented by Lee & Associates’ Woody King, Alan Friedman and Richard Plehn. Finance firm SOS Capital took almost 5K SF in the building’s penthouse space, which includes an outdoor terrace area, and was repped by Noah & Co.’s Ben Blumenthal. Investment bank Calex Partners signed the fourth lease in the building, taking almost 4K SF on the second floor in a deal handled in-house. Newmark’s William Cohen, JD Cohen, Jarad Winter and Ariel Harwood represented the landlord in all the transactions.
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Korean financial institution Shinhan Bank America has signed a 15K SF lease for 15 years in FosterLane Management’s 750 Seventh Ave., according to a release. The deal brings the 36-story Midtown office tower to 91% leased, with three floors left available. Shinhan took the entire 26th floor, where asking rents were $79 per SF, Commercial Observer reported. Howard Fiddle, Brett Shannon, Arkady Smolyansky, Evan Fiddle and Jacob Rosenthal of CBRE represented FosterLane. Shinhan Bank was represented by Matthias Li and Cole Chartash of Cushman & Wakefield.
CORRECTION, SEPT. 8, 3 P.M. ET: A previous version of this story misstated the participants in the 830 Third Ave. sale, the loan amount received by Delshah Capital and the location of its multifamily development. This article has been updated.
