The Real Deal New York

Carlyle Group secures $160M refi for
866 UN Plaza

The firm bought 62 office condos in the tower last year
By Christian Bautista | November 01, 2018 01:30PM

866 United Nations Plaza and Carlyle Group CEO William Conway Jr. (Credit: Getty Images)

Carlyle Group secured a $160 million loan for its office condominiums at 866 United Nations Plaza in Midtown East.

The loan covers 56 unsold units that the firm acquired last year for $218 million. AllianceBernstein provided the new debt, which replaces a $168 million Deutsche Bank mortgage from 2017, according to property records. The financing package also includes a $5 million gap mortgage.

The previous owner, Meadow Partners, acquired the 471,000-square foot building in 2013 and split the property into 96 office condo units. Carlyle owns a total of 62 office condos in the six-story structure, which sits at the base of two 32-story luxury residential towers, records show.

The property is home System Property Development, a Pasadena, California-based real estate investment firm that paid $30.1 million for three first-floor units in 2016. The Government of Uruguay also purchased two office condos in the property last July.

Carlyle, founded by William Conway, Jr., Daniel D’Aniello and David Rubenstein, declined to comment. The company is set to get more involved on the other side of real estate debt transactions. It recently announced a partnership with Slate Property Group for the launch of a $750 million firm called SCALE Lending. SCALE will focus on bridge and transitional loans for the New York City real estate market.