NYC’s largest real estate loans in April

New York Presbyterian Hospital took on more debt than any developer last month

TRD New York /
May.May 18, 2017 07:00 AM

Three financing deals over $300 million top April’s list of the 10 largest real estate loans in New York City, according to analysis of transactions recorded by the Department of Finance conducted by The Real Deal. Deutsche Bank was the list’s most frequent lender, and as for borrowers, the biggest of them all was not even a developer. Here they are:

1) Construction loan, stat – $327 million

New York Presbyterian Hospital secured $327 million for a new facility at 515 6th Street in Park Slope, where it has merged with New York Methodist Hospital. Bank New York Mellon is the lender on the deal. The hospital previously secured $30 million in tax-exempt bonds for the new building.

2) The sweet sound of refinance – $325 million (tie)

The Carnegie Hall Tower office building got a boost from the Metropolitan Life Insurance Company in the form of a $325 million refinancing. Jeremy Shell, of landlord TF Cornerstone, claimed that nearby Billionaires’ Row has “correlated very positively” to rising office rents at the building.

2) Bye, bye Invesco – $325 million (tie)

As part of a deal to buy Invesco out of five Dumbo Heights properties, Kushner Companies, LIVWRK and RFR Realty took on more than $400 million of new debt, $325 million of which closed in April. When the four partners first acquired the properties in 2013, Invesco had 90 percent of the equity stake. The debt deal was the only outer borough transaction in this month’s top 10.

4) Refi at reception, please – $290 Million

Intercontinental Hotels Group locked down a $290 million refinancing of its hotel at 111 East 48th Street. The lender on the deal was Deutsche Bank. IHG is no longer the majority owner of the building, however. In 2013, it sold an 80 percent stake to an affiliate of the Qatari company Constellations Hotels Holding.

5) Fixed-rate, just in time – $272 million

Ceruzzi Properties and SMI USA refinanced the land beneath the Lipstick Building at 855 Third Avenue with a $272 million fixed-rate loan. Louis Ceruzzi said getting the fixed-rate deal was key since the Federal Reserve is likely to raise interest rates twice this year.

6) L’CMBS loan – $250 million

French bank subsidiary Natixis Real Estate Capital refinanced JEMB Realty’s 75 Broad Street with a $250 million securitized loan. JEMB has owned the Financial District office building since 1999.

7) From Forest City to Forest City – $200 million

Forest City Ratner took a $200 million loan from White Oak Acquisition LLC for commercial condo units at the New York Times building. But that LLC was really an entity of Forest City Commercial Development, meaning the deal was an example of a large firm lending to itself through its distinct affiliates.

8) Penn South gets a megamortgage – $187.5 million

The affordable housing complex in Chelsea known as Penn South received a $187.5 million loan from Wells Fargo. Mutual Redevelopment Houses is the owner of the buildings that secured the federally-backed mortgage. The complex holds more than 2,800 affordable apartments.

9) Southern bank takes debt on yankee hotel – $170.4 million

Birmingham, Alabama-based Regions Bank took on a $170.4 million loan to DiamondRock Hospitality for the Lexington Hotel at 511 Lexington Avenue. The debt was previously held by CitiBank. The Regions transaction was previously unreported. It also appears to be the largest loan that Regions holds in New York City.

10) Double Deutsche – $166 million

In its second loan to make this month’s top 10 list, Deutsche Bank extended $166 million to Carlyle Group for office condos at 866 United Nations Plaza. Carlyle in March bought the condos from Meadow Partners for $218 million.

Largest NYC loans recorded in April 2017
RankAddressLoan amountBorrowerLender
1515 Sixth Street and others (Park Slope) $327 milllionNewYork-PresbyterianBank of New York Mellon
2 (tie)Carnegie Hall Tower at 152 West 57th Street (Midtown)$325 millionTF CornerstoneMetropolitan Life Insurance
2 (tie)117 Adams St., 55 Prospect St., 77 Sands St., 81 Prospect St. (Dumbo)$325 millionKushner Companies, RFR HoldingCitibank
4111 East 48th Street (Midtown)$290 millionIntercontinental Hotels GroupDeutsche Bank
5885 Third Avenue, Lipstick Building (Midtown)$272 millionCeruzzi Properties, SMI USACredit Suisse
675 Broad Street (Financial District)$250 millionJEMB RealtyNatixis Real Estate Capital
7620 Eighth Avenue, New York Times Building (Times Square)$200 millionForest City RatnerForest City Commercial Development
8Penn South, 212 Ninth Avenue and others (Garment District)$187.5 millionMutual Redevelopment HousesWells Fargo
9Lexington Hotel NYC, 511 Lexington Avenue (Midtown)$170.4 millionDiamondRock HospitalityRegions Bank
10866 United Nations Plaza (unsold office condos in Midtown East)$166 millionCarlyle GroupDeutsche Bank
Source: The Real Deal analysis of NYC Dept. of Finance records recorded in April 2017. Refinance deals with the same lender or extensions were not included.

(To view financing transactions through the beginning of April 2017, click here)


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