$75M loan tied to Gramercy Park Hotel sells to anonymous buyer

RFR Realty-owned hotel was previously behind on rent payments

New York /
Jan.January 26, 2021 12:15 PM
The Gramercy Park Hotel at 2 Lexington Avenue and RFR Realty's Aby Rosen (Google Maps; Getty)

The Gramercy Park Hotel at 2 Lexington Avenue and RFR Realty’s Aby Rosen (Google Maps; Getty)

A $75 million loan tied to the Gramercy Park Hotel sold to an anonymous buyer.

JPMorgan Chase sold the debt, which has a maximum principal amount of $75 million, to RDAC 8 LLC, according to PincusCo. The loan is secured by the Gramercy Park Hotel.

Just last month, Artnet reported that the hotel’s owner, Aby Rosen’s RFR Holding, owes $900,000 in ground lease payments on the property. A notice on the hotel’s door at the time stated that if Rosen does not pay by Dec. 28, his hotel could face eviction. So far, no foreclosure actions have been filed, according to PincusCo.

RFR owns the hotel itself, but Solil Management, the firm that manages the estate of Sol Goldman, owns the land underneath. Rosen’s firm pays $5.3 million per year to lease the land.

Rosen bought the hotel with hotelier Ian Schrager in 2003. The two redeveloped the property, and Rosen took full ownership in 2010.

The hotel had closed its doors to guests at the onset of the pandemic, but Rosen recently said he offered rooms to his employees who live in the suburbs to avoid commuting to the office.

“I told everybody, ‘Guys, you want to stay Tuesday night or Wednesday? Be my guest. Breakfast is at 9. Then show up at the office when you feel like it,’ ” Rosen told Bloomberg News.

The Gramercy Park Hotel was built on the site where novelist Edith Wharton was born, played host to Humphrey Bogart’s wedding and was home to the young John F. Kennedy and his family. At one time, Babe Ruth was a regular at the hotel’s bar.

[PincusCo] — Keith Larsen


Related Articles

arrow_forward_ios
Haven Realty Capital's Sudha Reddy, JPMorgan Chase's Jamie Dimon and Bella View in Atlanta, GA (Getty, Haven Realty Capital, JPMorgan Chase)
JPMorgan aims to acquire $1B in single-family rentals
JPMorgan aims to acquire $1B in single-family rentals
From left: RFR Realty’s Michael Fuchs and Alvina Collardeau-Fuchs (Getty)
RFR’s Fuchs gets “clean break” from wife, but it wasn’t cheap
RFR’s Fuchs gets “clean break” from wife, but it wasn’t cheap
JPMorgan Chase's Jamie Dimon, Deutsche Bank's Christian Sewing and Barclays' Nigel Higgins (JPMorgan Chase, Deutsche Bank, Barclays, Getty)
Office lenders looking for an off-ramp
Office lenders looking for an off-ramp
Sam Yen of JPMorgan Chase (LinkedIn, Illustration by The Real Deal with Getty)
JPMorgan wants you to rip up your rent checks
JPMorgan wants you to rip up your rent checks
Boston Properties CEO Owen Thomas and 200 Fifth Avenue (Getty, Boston Properties, Metro Manhattan Office Space)
Boston Properties pays $280M for L&L’s stake in Flatiron offices
Boston Properties pays $280M for L&L’s stake in Flatiron offices
From left: Jane Goldman and Danny Meyer (Photo Illustration by Steven Dilakian for The Real Deal with Getty and Solil Management)
Danny Meyer’s Gramercy Park Hotel restaurant sues Solil
Danny Meyer’s Gramercy Park Hotel restaurant sues Solil
From left: RFR Holdings' Aby Rosen and Blue Owl Capital's Doug Ostrover along with 3 World Trade Center (left), the Seagram building (middle) and 340 Madison Avenue (right) (Getty Images, Blue Owl Capital, Beyond My Ken, CC BY-SA 4.0 - via Wikimedia Commons)
Trio of office leases boost hopes at Class A buildings
Trio of office leases boost hopes at Class A buildings
NYU president Andrew Hamilton and 3 Metrotech Center (NYU, JLL)
NYU buys MetroTech Center office building for $122M
NYU buys MetroTech Center office building for $122M
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...