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Commercial
New York

Columbia Property Trust lands $270M refi at 799 Broadway

Blackstone Mortgage Trust provided financing

Columbia Property Trust CEO Nelson Mills and 799 Broadway (Columbia Property Trust, 799BroadwayNYC.com, iStock)
Columbia Property Trust CEO Nelson Mills and 799 Broadway (Columbia Property Trust, 799BroadwayNYC.com, iStock)

With construction complete and sizable tenants on board, Columbia Property Trust refinanced its boutique office building in Greenwich Village.

The landlord scored a $270 million refinancing of the 12-story property at 799 Broadway, the Commercial Observer reported. Blackstone Mortgage Trust provided the financing, which was arranged by Eastdil Secured.

Columbia completed construction on the 182,000-square-foot building in April. The property is already 70 percent leased — Columbia has found occupants for nine of the building’s floors.

The largest tenant signed on last month. Boston-based investment management firm Wellington Management leased 71,000 square feet across four floors, taking up 40 percent of the building. Wellington agreed to a 16.5-year lease with the complex, which sits on the corner of East 11th Street and Broadway where Union Square, Greenwich Village and the East Village meet.

Three other tenants are on board at the REIT’s new building. National mortgage lending and servicing organization New Residential Investment Corporation leased 25,000 square feet across two floors, which includes four outdoor terraces. Investment firm Bain Capital Ventures took 9,000 square feet for 10 years.

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An undisclosed tenant also nabbed two floors at the beginning of the year.

Asking rents at the building have reportedly ranged from $150 to $200 per square foot. Perkins & Will designed the building, which includes a communal garden, gym, lounge and bike room.

Columbia and Normandy Real Estate Partners finalized a $300 million joint venture in 2018 for the building’s development, scoring a $187 million construction loan from Apollo Commercial Real Estate Finance. Columbia closed on its 50 percent stake from Ares Management at a valuation of $142.5 million.

Earlier this year, Blackstone Mortgage Trust provided a $228 million loan to Tishman Speyer for the developer to build 620 apartments on eight sites in Santa Monica, California.

[CO] — Holden Walter-Warner

Tags
Blackstone GroupColumbia Property TrustCommercial Real EstateGreenwich VillageOffice MarketReal Estate Finance