Stalled UES condo development site gets $25.6M loan

New York /
Nov.November 30, 2011 12:46 PM

A vital bridge loan from Canyon Capital Realty Advisors for the stalled condominium development at 1355 First Avenue known as the Charles has finally gone through, according to a press release from Canyon.

The $25.6 million senior loan for developer Bluerock will enable the $170 million Upper East Side project to “refinance existing debt and to resume pre-development activities,” at the embattled site between 72nd and 73rd streets. The infusion from Los Angeles-based Canyon has been held up by legal issues since last month. Bluerock will retain development firm Victor Homes to get things going at the site, where construction should begin in the next 12 months, according to the release.

Bluerock, which is led by former restauranteur Ramin Kamfar, had previously sued an unnamed lender who refused to officially write off a $6 million loan it provided to Bluerock in 2010. Glacier 1355 First Avenue LP, as the entity was known in documents filed in the New York State Supreme Court, effectively blocked the needed funds from Canyon in a bid to receive a percentage of the revenue stream from the development, despite the fact that their loan had been repaid in full. The construction loan’s terms did specify that modifications allowing it to invest in the project were allowed, although the original loan amount was minimal compared with the $90 million Bluerock needs for the project.

Ismael Leyva Architects P.C. will design the planned tower, which should rise to 32 stories upon completion.

“We appreciate the Canyon team’s tremendous ability to close a complex transaction quickly. Their team was accretive throughout the entire underwriting process,” Bluerock CEO Kamfar said. “With the financing now in place, we have certainty that we will complete the pre-development process.” — Guelda Voien


Related Articles

arrow_forward_ios
Extell Development chairman Gary Barnett and the empty lot between 79th and 80th on First Avenue (Google Maps)
Extell building 30-story medical tower on UES
Extell building 30-story medical tower on UES
A rendering of The Residences at 400 Central and John Catsimatidis (Catsimatidis via Getty)
John Catsimatidis breaks ground on 46-story condo project in St. Pete
John Catsimatidis breaks ground on 46-story condo project in St. Pete
From left: Francisco Llado, Gil Dezer, Amir Korangy, Paulo Bacchi, Edgardo Defortuna, Jay Parker, Daniel de la Vega (Artefacto, Getty)
Is Miami’s residential architecture overplayed? No way!: TRD panel at Artefacto
Is Miami’s residential architecture overplayed? No way!: TRD panel at Artefacto
520 Park Ave and Gil Agmon (Getty, Delek Motors, Robert A.M. Stern Architects)
After split, 520 Park sponsor unit sells to Israeli automotive exec for $36M
After split, 520 Park sponsor unit sells to Israeli automotive exec for $36M
Widow of late General Electric CEO Jack Welch buys $23M UES mansion
Widow of late General Electric CEO Jack Welch buys $23M UES mansion
Widow of late General Electric CEO Jack Welch buys $23M UES mansion
Aulder Capital CEO Jonah Bamberger and 162-164 East 82nd Street (Rosewood Realty Group, Slate Property Group)
Two Upper East Side apartment buildings head to foreclosure sale
Two Upper East Side apartment buildings head to foreclosure sale
Luxe condo owners benefit from city's flawed property-valuation process
Luxe condo owners benefit from city’s flawed property-valuation process
Luxe condo owners benefit from city’s flawed property-valuation process
Children’s Fund moves to foreclose on Ceruzzi’s UES condo project
Children’s Fund moves to foreclose on Ceruzzi’s UES condo project
Children’s Fund moves to foreclose on Ceruzzi’s UES condo project
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...