Paramount Building slated for $50M makeover

New York /
Apr.April 22, 2013 08:30 AM

The renowned Paramount Building in Times Square is getting a $50 million makeover through a low-cost financing deal, the Wall Street Journal reported.

Paramount Leasehold L.P. will spend the money on capital improvements such as new windows, elevators and a renovated lobby at the 33-story, 780,000-square-foot tower, at 1501 Broadway, sources told the Journal. The landlord just secured a 10-year, $130 million mortgage with an annual interest rate of 3.16 percent  from Cantor Commercial Real Estate. Meridian Capital Group negotiated the loan. 

“Given its prime location in [the] bow-tie of Times Square, there was definitely a tremendous amount of capital chasing the deal,” Meridian’s Keith Kurland, who worked with Aaron Appel on the transaction, told the Journal.

Built in 1926 as the East Coast headquarters of Paramount Pictures, the building was once one of the tallest in Manhattan. It is currently 70 percent leased, primarily to theater-district attorneys and entertainment tenants such as Hard Rock Café and Bubba Gump Shrimp. But it could be a good spot for technology companies, Arthur Mirante, tri-state president of leasing agent Avison Young, told the Journal. Owners may also put in an additional entrance on 43rd Street, he said.

Asking rents would be up to $70 a square foot for the tower, in mid-60s for the space just below the tower and mid-50s for floors four and five, Mirante added. [WSJ, first item] —Hiten Samtani


Related Articles

arrow_forward_ios
Meridian Capital Group CEO Ralph Herzka, Former Freddie Mac CEO David Brickman and  Barings CEO Mike Freno (Herza by Studio Scrivo; Brickman by Freddie Mac; Freno via Barings)
Ex-Freddie Mac boss looks to become top agency-backed CRE lender
Ex-Freddie Mac boss looks to become top agency-backed CRE lender
Former Freddie Mac CEO David Brickman and Meridian Capital Group CEO Ralph Herzka (Freddie Mac; Herza by Studio Scrivo)
Ex-Freddie Mac CEO launching lending platform with Meridian, Barings
Ex-Freddie Mac CEO launching lending platform with Meridian, Barings
Ed Adler and Wendy Silverstein (Getty)
Wendy Silverstein, Ed Adler launch loan restructuring biz
Wendy Silverstein, Ed Adler launch loan restructuring biz
TSCG and SCG Retail's David Firestein, Meridien Retail Leasing's James Famularo and Newmark Knight Frank's Jeffrey Roseman
How to restart retail on today’s TRD Talk
How to restart retail on today’s TRD Talk
Meridian Capital CEO Ralph Herzka (Credit: Studio Scrivo, iStock)
Meridian Capital hit with round of layoffs
Meridian Capital hit with round of layoffs
Meridian Capital CEO Ralph Herzka and One Battery Park Plaza (Credit: Sean Zanni/Patrick McMullan via Getty Images; Google Maps)
Meridian Capital employee tests positive for coronavirus
Meridian Capital employee tests positive for coronavirus
Meridian Capital CEO Ralph Herzka and Former Credifi CEO Ely Razin (Photo by Sean Zanni/Patrick McMullan via Getty Images; Twitter)
Meridian takes page from startups, names CrediFi’s Ely Razin CIO
Meridian takes page from startups, names CrediFi’s Ely Razin CIO
23-10 Queens Plaza South, Gary Segal and Justin Ehrlich (Credit: Google Maps)
Dynamic Star CEO buys Queens Plaza site for $28M
Dynamic Star CEO buys Queens Plaza site for $28M
arrow_forward_ios

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

Loading...