WATCH: Behind Barnett’s big gamble on Central Park Tower

A discussion of TRD's profile on the Extell giant

New York /
Oct.October 13, 2016 12:39 PM

Back in 2008, Extell Development TRData LogoTINY founder and president Gary Barnett defied the laws of the recession; in the midst of a collapsed market, his One57 rose like a phoenix from the ashes. Now, he’s attempting to pull a similarly audacious trick: Just as the luxury condo market seems to be reaching saturation point, Barnett is trying to secure financing for two high-end residential projects — 1 Manhattan Square on the Lower East Side and Central Park Tower on Billionaires’ row.

There’s a nearly $200 million financing gap at 1MS and a $900 million construction loan to source for CPT (which would be one of the largest issued to a New York developer this cycle). And even if Barnett finds the money, there remains the question of where the buyers will come from.

In order to report on Barnett and these two projects, The Real Deal‘s Katherine Clarke started by taking a dive into the Israeli bond market, and eventually sat down with the man himself. The resulting story, “Inside Gary Barnett’s game of real estate Tetris,” provides an in-depth look at the developer’s financing strategy.

“Extell has been historically a very opaque company to us,” said Clarke, adding that the stringent disclosure laws for Israeli public companies allowed her a detailed look at the inner workings of Barnett’s plan.

To see the interview with TRD’s Hiten Samtani, watch the video above.

For more videos, visit The Real Deal’s YouTube page.


Related Articles

arrow_forward_ios
One Manhattan Square Extell Development CEO Gary Barnett (Credit: Curbed NY)
Extell lands $690M refinancing package for One Manhattan Square
Extell lands $690M refinancing package for One Manhattan Square
Extell Development's Gary Barnett (Credit: Getty Images and iStock)
Chelsea residents paid Gary Barnett $11M to protect their views from a planned tower
Chelsea residents paid Gary Barnett $11M to protect their views from a planned tower
Central Park Tower
Extell just went public with Central Park Tower listings
Extell just went public with Central Park Tower listings
From left: Gary Barnett, with One Manhattan Square, Harry Macklow with One Wall Street, Steve Witkoff with One High Line, and Miki Naftali with 1045 Madison Avenue (Getty, One Manhattan Square, One Wall Street, Big Architects, The Benson)
Over the glut, but now what? Breaking down NYC’s new condo inventory
Over the glut, but now what? Breaking down NYC’s new condo inventory
Extell's Gary Barnett and 217 West 57th Street (Barnet by Paul Dilakian, Itrytohelp32, CC BY-SA 4.0, via Wikimedia Commons)
Barnett: Central Park Tower will fall short of $4B sellout
Barnett: Central Park Tower will fall short of $4B sellout
From left: Extell's Gary Barnett and JDS Development’s Michael Stern along with One Manhattan Square, The Narrows, and 111 West 57th Street (Extell, JDS Development, Getty Images, The Narrows Condo)
New development sales plummeted 30% in July
New development sales plummeted 30% in July
From left: Extell’s Gary Barnett and Landsea Homes' John Ho with 540 Sixth Avenue (Linkedin, Getty)
Gary Barnett sues developer for poaching his tenant
Gary Barnett sues developer for poaching his tenant
The New Kings of New York, Steve Ross, Gary Barnett, Ziel Feldman, Kent Swig, Dan Doctoroff
“What happened to Ziel Feldman reminds me of what happened to Kent Swig:” An interview with the author of “The New Kings of New York”
“What happened to Ziel Feldman reminds me of what happened to Kent Swig:” An interview with the author of “The New Kings of New York”
arrow_forward_ios

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

Loading...