Square Mile lends $430M on redevelopment of FiDi office tower

Owners have already leased more than 500k sf at the former 7 Hanover Square

TRD New York /
Oct.October 03, 2019 05:40 PM
7 Hanover Square (Credit: Google Maps, iStock)

7 Hanover Square (Credit: Google Maps, iStock)

The team redeveloping the 1980s-era Guardian Life building in the Financial District into modern offices plans to start construction next week after landing $430 million in financing.

The Gural family’s GFP Real Estate, Northwind Group and TPG Real Estate Partners closed on the construction loan with Square Mile Capital, the developers told The Real Deal.

“We have always believed in the re-emergence of Downtown as a place where leading tenants want to be,” GFP co-CEO Brian Steinwurtzel said.

GFP and its partners are turning the building at 7 Hanover Square into two separate portions with addresses at 100 Pearl Street and 50 Water Street. The owners have already leased more than 525,000 square feet of office space at 50 Water Street to NYC Health + Hospitals, the nonprofit corporation that operates the city’s public hospitals and health care facilities.

A team at Cushman & Wakefield led by Gideon Gil, Alex Hernandez, Thomas Sullivan and Zach Kraft arranged the financing.

The new owners purchased the building from the Guardian Life Company for more than $300 million. A Cushman team of Adam Spies, Doug Harmon, Adam Doneger and Josh King arranged the sale on behalf of Guardian Life.

Square Mile Capital was was founded in 2006 by Jeff Citrin and Craig Solomon. The two sold a 49 percent stake in the company to USAA Real Estate Company in 2012.