The Real Deal New York

CIM to begin work at Drake Hotel site

The former Drake Hotel and Harry Macklowe

CIM Group has filed an application with the Department of Buildings to begin below-ground work at the site of the former Drake Hotel on Park Avenue and 56th Street, signaling the beginnings of the building process at the long-stalled project. It’s still unclear what will rise from the site originally assembled by developer Harry Macklowe, who bought the Drake for $418 million in 2006 and demolished it. He defaulted on the debt the following year, and in 2010, Los Angeles-based CIM bought his $510 million construction loan and took over the project, agreeing to keep Macklowe involved. CIM’s application currently calls for a five-story development, but according to the Wall Street Journal, those plans could easily change, since excavation work is similar for buildings of a much larger scale, and the site’s zoning allows for a much taller structure. Earlier this year, CIM added to the Drake site with the purchase of an East 57th Street townhouse for $42.5 million. [WSJ]

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