The Real Deal New York

Lightstone Group lands $262M loan for Times Square hotel

Firm plans to convert office building into 618-key hotel
By Kathryn Brenzel | November 01, 2017 01:15PM

Moxy Hotel at 485 Seventh Avenue and David Lichtenstein

The Lightstone Group just nabbed a $262.2 million financing package for its conversion of a Times Square office building into a new hotel.

Goldman Sachs provided a new $57.2 million gap mortgage for the firm’s Marriott Moxy Hotel at 485 Seventh Avenue, which consolidates $205 million in previous financing, documents filed with the city’s Department of Finance show. Square Mile Capital Management issued the $205 million construction loan last year, alongside $125 million in capital from two unnamed institutional investors.

Representatives for Lightstone could not immediately be reached for comment.

Lightstone TRData LogoTINY bought the 16-story office building in 2014 for $182 million, property records show. The firm plans to convert the property into a 618-key hotel. In March, the New York Post reported that the Tao Group struck a deal with Lightstone to open restaurants and bars in the hotel.

The firm is building another Moxy-brand hotel at 105-109 West 28th Street and one at 112 East 11th Street.