The Real Deal New York

Chetrit, Minskoff and Moinian get $375M refi in Garment District

Loan for WeWork-anchored office complex replaces financing from 2006
May 31, 2018 11:29AM

500-512 Seventh Avenue and from left to right: Joseph Chetrit, Joseph Moinian, and Edward Minskoff

Moinian Group, Chetrit Group and Minskoff Equities scored a $375 million loan to refinance a Garment District office complex.

Insurance giant American International Group provided the money to refinance 500-512 Seventh Avenue. The loan replaces older financing from 2006, including a loan for $186 million and another for $20.1 million, Debtwire reported. Iron Hound Management arranged the financing.

The three partners acquired the ground lease for the property, along with 228 West 38th Street, in 1999 for $140 million, according to property records. The Real Deal reported that the investors avoided defaulting on the financing in 2016 by securing an extension. Solil Management controls the land, and roughly 29 years remain on the ground lease.

Tenants of the complex include WeWork, which inked a lease in December for 250,000 square feet, and Touro College, which leased two floors in buildng back in 2014. The complex consists of two buildings — one that rises 17 stories (500 Seventh) and another that is 45 stories (512 Seventh). [Debtwire] — Kathryn Brenzel