Mitsui Fudosan buys majority stake in Taconic’s Hell’s Kitchen project

Development will have unusually high affordable housing component

New York /
Jun.June 08, 2015 08:30 AM

Mitsui Fudosan, one of Japan’s biggest real estate companies, has bought a majority stake in Taconic Investment Partners’ 525 West 52nd Street.

The $330 million development in Hell’s Kitchen will include a large affordable housing component, the Wall Street Journal reported. The residential complex will include two towers with a total of 392 rental units, according to the newspaper.

About 80 apartments will be affordable. The building is also subsidizing an affordable housing project down the block. The two projects have about 40 percent of the units set aside for low-income tenants, as opposed to the more customary 20 percent.

Last month, Taconic secured a $200 million loan from Wells Fargo Bank and the New York State Housing Finance Agency to finance the residential development on the Far West Side.

“It’s pretty unique,” Charles Bendit, co-chief executive of Taconic, told the Wall Street Journal.

The companies hope to finish 525 West 52nd Street in 2017, according to the newspaper.

Late last year, Mitsui paid roughly $259 million for a stake in a $1.4 billion office tower at 55 Hudson Yards, which it co-owns with the Related Companies and Canadian pension investment firm Oxford Properties. The Japanese firm also owns 1251 Sixth Avenue, which it bought in the 1980s. [WSJ] — Claire Moses


Related Articles

arrow_forward_ios
Taconic Partners' Matthew Weir and Hudson Research Center 61 at 9 West 54th Street (iStock, Taconic Partners, Hudson Research Center)
RPI signs at Taconic and Silverstein’s life sciences hub
RPI signs at Taconic and Silverstein’s life sciences hub
Extell offloads Far West Side dev site for $52M
Extell offloads Far West Side dev site for $52M
Extell offloads Far West Side dev site for $52M
Largest Real Estate Loans Topped $2.5B in December, including: 601 Lexington Avenue, 441 Ninth Avenue & 360 Park Avenue South (BXP, Hudson Commons, 360 Park Avenue South, iStock)
Ten biggest Manhattan real estate loans in December top $2.5B
Ten biggest Manhattan real estate loans in December top $2.5B
Taconic, Clarion grab $130M loan on Bronx housing complex
Taconic, Clarion grab $130M loan on Bronx housing complex
Taconic, Clarion grab $130M loan on Bronx housing complex
 Gotham Organization's Joel Picket and David Picket with 550 10th Avenue (Getty, Gotham/Handel Architects)
Gotham grabs $250M for massive mixed-use project on Far West Side
Gotham grabs $250M for massive mixed-use project on Far West Side
Pershing Square Capital Management CEO Bill Ackman and 787 11th Avenue (Getty, Rafael Viñoly Architects)
Ackman wants $630M for Hell’s Kitchen office building
Ackman wants $630M for Hell’s Kitchen office building
Bill Gates and 619 West 54th Street (Getty, Taconic Partners)
Bill Gates-backed bio startup expanding in NYC
Bill Gates-backed bio startup expanding in NYC
Georgetown president and CEO Adam Flatto and a rendering of 787 11th Avenue 
Georgetown Co. will bring life sciences hub to Far West Side
Georgetown Co. will bring life sciences hub to Far West Side
arrow_forward_ios

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

Loading...