search

The Real Deal Logo

Trending

Lawmakers reach sweeping housing deal with “good cause eviction,” new 421aLawmakers reach sweeping housing deal with “good cause eviction,” new 421aHow low? LNR buys San Francisco office building for 11% of 2018 priceHow low? LNR buys San Francisco office building for 11% of 2018 priceSpec home developer lists Beverly Hills PO manse for $29.5MSpec home developer lists Beverly Hills PO manse for $29.5MTides Equities faces three foreclosures in Fort WorthTides Equities faces three foreclosures in Fort Worth
New York

ATCO refinances Garment District building for $73M

Loan comes from MetLife Investment Management

240-246 West 35th Street
240-246 West 35th Street

ATCO Properties has refinanced its Garment District building at 240-246 West 35th Street with a $72.75 million loan.

The fixed-rate, five-year loan comes from MetLife Investment Management. Newmark Knight Frank’s Jordan Roeschlaub and Dustin Stolly arranged the deal, according to ATCO.

ATCO, a family-run investment firm led by H. Dale Hemmerdinger and based in Midtown, purchased the 18-story, 165,000-square-foot office building in 2016 from RPW Group for $108 million. In October, the company established a joint venture partnership with Israeli insurance company Migdal Group for the property. ATCO maintained a 51 percent ownership interest in the building, while Migdal took the remaining stake.

Dale Hemmerdinger

Sign Up for the undefined Newsletter

ATCO’s Manhattan portfolio includes 555 Fifth Avenue, 373 Park Avenue South and 630 Third Avenue. The West 35th Street building was its first purchase in the Garment District.

The company has made several renovations to the building since purchasing it and is currently upgrading the elevator.

Dustin Stolly (Credit: Emily Assiran)

Last year, ATCO leased 47,000 square feet of space in the building between renewals and new tenants. These include a 10,000-square-foot, 10-year renewal with Newsday, an 11,000-square-foot five-year renewal with fashion designer Jason Wu and a new 12-year lease for 5,000 square feet with Café Metro.