Naftali lands $120M+ in financing for Upper East Side project

Money comes from Bank Hapoalim

Jul.July 09, 2019 03:15 PM
1039-1045 Madison Avenue and Miki Naftali (Credit: Google Maps)

1039-1045 Madison Avenue and Miki Naftali (Credit: Google Maps)

For years, Naftali Group has been putting together a development assemblage along Madison Avenue. Now, the developer landed the financing it needs to move forward with a condominium project at the site.

Bank Hapoalim provided the developer with $120.4 million in construction financing for 1039-1045 Madison Avenue on the Upper East Side, according to property records. Architect Peter Pennoyer will design the project, according to Naftali.

The debt package includes a $16 million project loan, a $58.5 million building loan and a $45.9 million construction acquisition loan, property records indicate. Bank Hapoalim did not respond to a request for comment.

Naftali has been stitching together the four parcels between East 79th and 80th streets for roughly two years. The firm purchased 1041 Madison Avenue in 2017 for $21.1 million, 1045 Madison Avenue in 2017 for $22.8 million and 1039 Madison Avenue in 2018 for $26 million. It just bought the last parcel at 1043 Madison Avenue this summer for about $1.6 million. The assemblage offers more than 60,000 buildable square feet.

Company CEO Miki Naftali said in a statement that it looked forward to working with Pennoyer on project “in the most prominent location on the Upper East Side.”

Nearby, Naftali has partnered with Rockefeller Group on an Upper East Side luxury condo tower at 200 East 83rd Street. Naftali went under contract in February to buy 470 Kent Avenue on the Williamsburg waterfront for around $182 million as well.

Related Articles

Sherry-Netherland Hotel at 781 Fifth Avenue and Guo Wengui (Credit: iStock)

Chinese fugitive willing to take $12M loss at Sherry-Netherland

781 Fifth Avenue (Credit: StreetEasy, Beyond My Ken via Wikipedia)

Full-floor Sherry-Netherland pad relists — at nearly half its 2015 ask

The former Food Emporium space at East 59th Street and First Avenue and a Trader Joe's (Credit: Google Maps, Wikipedia)

Trader Joe’s to open new UES store under Queensboro bridge

Jeff Zucker and 32 East 64th Street, Apt 3W (Credit: Getty Images)

CNN chief lists Lenox Hill co-op for $17M

166 E. 81st St. (Credit: Google Maps, iStock)

UES townhouse once described as “infested with vermin” goes into contract

Epstein's Mansion at 9 East 71st Street and the Frick Museum at 1 East 70th Street with Jeffrey Epstein (Credit: Getty Images, Google Maps, Wikipedia)

Preservationists want the Frick to buy Epstein’s old mansion

60 East 93rd Street and Carlton Hobbs (Credit: Google Maps and Getty Images)

Why a $68M townhouse listing was abruptly pulled off the market

Steve Roth and Miki Naftali with 1167 Madison Avenue and 50 East 86th Street (Credit: Google Maps)

Naftali buys two vacated Vornado properties for $71M