Est4teFour locks down $78M loan to acquire former NY REIT office condo

Ladder Capital is the lender for the 150K sf space
By Miriam Hall | August 17, 2017 12:25PM

Italian real estate firm Est4teFour secured $77.8 million in financing to purchase a 150,000-square foot office condominium at 50 Varick Street, according to records filed with the city this week.

Ladder Capital provided the financing, which includes a $26.5 million mortgage and consolidates the remaining $51.3 million principal in previous debt, documents show.

Est4teFour paid NY REIT $135 million for the property earlier this month.The sale was the first to close since the real estate investment trust, led by CEO Wendy Silverstein,  started liquidating its 4.4 million-square-foot office property portfolio, a process that’s expected to be complete by the first quarter of next year.

The office space spans the fifth through seventh floors of the building, which Est4te Four led a renovation of in 2012.

Earlier this year, the Milan-based developer abandoned its plans for a 1.2 million-square-foot megadevelopment in Red Hook, and sold the six-building site for $110 million to Sitex.

Ladder Capital, a Manhattan-based real estate investment trust, has issued more than $250 million in loans to the Trump Organization. In February, Related Companies purchased $80 million of stock in the firm.

Representatives for Ladder Capital and Est4te could not be immediately reached for comment.

Chava Gourarie contributed to reporting.