Gansevoort Meatpacking scores $115M refi

Lone Star Funds affiliate lends on trendy 186-key property

TRD New York /
Feb.February 23, 2017 05:05 PM

The Gansevoort Hotel in Meatpacking (Credit: Gansevoort Hotel Group)

The owner of the Gansevoort Meatpacking NYC hotel secured a $115 million refinancing from L Star Capital, an affiliate of Lone Star Funds, sources involved in the transaction told The Real Deal.
The 10-year commercial mortgage-backed securities loan has an 8 percent debt yield, and a source familiar with the transaction described it as the “miracle on Gansevoort.” The loan includes five years of interest-only payments.

The owners of the hotel, the Achenbaum family, planned to reposition the 11,000-square-foot retail space at the base of the 186-key hotel, sources said.

They also plan to invest in the hotel’s rooftop, which is a trendy sundowner hotspot for the West Side set.

Peter Weiss of Ackman-Ziff Real Estate Group was the sole broker on the transaction. He declined to comment.

The property, located at 18 Ninth Avenue between Little West 12th and 13th streets, was completed in 2004. The Achenbaums leased the land from Ira Drukier and Richard Born, of BD Hotels fame.

In general, New York’s hotel market is going through a challenging period, with revenue per available room (RevPar) on the downswing. Some executives believe, however, that the city’s hotel market is about to turn a corner.

Related Articles

With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)

Real estate stocks push up this week as U.S.-China trade tensions ease

416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case

The Blakely Hotel at 136 West 55th Street and Richard Born (Credit: Google Maps, iStock, Richard Born by Studio Scrivo)

Hotel owner says competition, not union deal, led to closure

The Blakely Hotel at 136 West 55th Street and Richard Born (Credit: Google Maps, Richard Born by Studio Scrivo)

Blakely Hotel may shut down, lay off 54 workers

Renderings of 130-02 South Conduit Avenue and Triangle Equities’ Joshua Weingarten (Credit: Terminal Logistics)

Triangle Equities lands $87M loan for massive JFK warehouse project

From left: 172 Madison Avenue, 100 East 53rd Street, Woolworth Tower, 53 West 53rd Street, 615 10th Avenue

Loan wolves: Bankers are stalking developers as debts come due

State Sen. Julia Salazar and Assembly member Harvey Epstein proposed the tax this month in an effort to disincentivize real estate speculation (Credit: iStock, Getty Images)

Experts take issue with proposed tax on mezzanine loans

Brookfield's largest-ever $15B property fund has invested in properties from New York (666 Fifth Avenue) to Bangalore (the Leela Palace hotel) (Credit: Brookfield, Getty Images, Leela)

Real estate fundraising hits lowest level since 2013