The Real Deal New York

ATCO closes on 240 W. 35th St. with $71M MetLife loan

Investor entered contract to purchase the property in October for $108M
By Hiten Samtani and Mark Maurer | December 20, 2016 04:08PM

From left: Jordan Roeschlaub, 240 West 35th Street and H. Dale Hemmerdinger

UPDATED, Dec. 20, 7:20 p.m.: ATCO Properties & Management closed Tuesday on the $108 million purchase of a Garment District office building, securing a $71 million loan from MetLife, sources told The Real Deal.

ATCO entered contract to buy the 165,000-square-foot, 18-story property at 240 West 35th Street from RPW Group in October, as TRD reported. The three-year, floating-rate MetLife loan, brokered by Newmark Grubb Knight Frank’s Jordan Roeschlaub and Daniel Fromm, offers two one-year extension options.

Representatives for Newmark declined to comment. Representatives for ATCO couldn’t be immediately reached.

JLL’s Anthony Ledesma and Richard Baxter brokered the sale.

The property, located between Seventh and Eighth avenues, is 95 percent leased to a variety of TAMI and fashion tenants, including designer Thom Browne. A majority of the leases are set to expire after 2020, according to an offering memo for the property seen by TRD.

ATCO, led by H. Dale Hemmerdinger, also owns 555 Fifth Avenue, 40 Central Park South, 41 West 58th Street, among other properties.