Sam Chang scores $120M in debt, equity for Hyatt Place project

Bank of Ozarks, Square Mile Capital provided funds for 520-key hotel

New York /
Mar.March 09, 2017 05:50 PM

Sam Chang secured a $120 million debt-and-equity package for his Hyatt Place hotel now under construction in the Garment District, he confirmed to The Real Deal.

The package includes a $95 million first mortgage from Bank of the Ozarks and $25 million in preferred equity from Square Mile Capital Management. His firm, McSam Hotel Group, is building a 25-story, 520-key property on the site, located at 350 West 39th Street.

Chang broke ground on the Gene Kaufman-designed project last fall. It is slated for completion in late 2018.

Eastern Consolidated’s Adam Hakim and James Murad brokered the debt-and-equity deal.

Representatives for Bank of the Ozarks and Square Mile Capital could not be reached for comment.

The 180,000-square-foot hotel is one of three rising on a block-long site between Eighth and Ninth avenues, formerly home to the digital advertising agency R/GA. Chang is building two of them, while Quadrum Global is developing a 26-story, 500-key hotel designed by Marvel Architects. Each firm paid $56 million for the site in 2014, records show.


Related Articles

arrow_forward_ios
George Gleason (Bank OZK)
Bank OZK loan originations reach highest level since 2017
Bank OZK loan originations reach highest level since 2017
79 Clifton Place, 80-01 37th Avenue, 45 East Mosholu Parkway North (LoopNet, Google Maps)
Residential dealmakers storm city’s investment sales market
Residential dealmakers storm city’s investment sales market
Sam Chang unloads two hotels as selling spree continues
Sam Chang unloads two hotels as selling spree continues
Sam Chang unloads two hotels as selling spree continues
Regional banks starting to show uptick in loans, but want more borrowers. (iStock)
Community banks looking to lend but New York landlords aren’t in borrowing mode
Community banks looking to lend but New York landlords aren’t in borrowing mode
Sam Chang and 525 Eighth Avenue
Sam Chang unloads Garment District hotel
Sam Chang unloads Garment District hotel
Bolivar Development's Peter Fine and 401 West 218 Street. (Google Maps)
10 biggest new project filings in NYC
10 biggest new project filings in NYC
Bank OZK CEO George Gleason (Photos via Bank OZK; iStock)
Bank OZK’s Q4 was “strong end to challenging year”
Bank OZK’s Q4 was “strong end to challenging year”
338 West 39th Street and Sam Chang (Photo via Google Maps)
Sam Chang sells Garment District hotel site for $32M
Sam Chang sells Garment District hotel site for $32M
arrow_forward_ios

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

Loading...