Simon Baron lands $201M loan to buy out Quadrum’s stake in LIC resi tower
The lender is a consortium headed by AIG Investments
Simon Baron Development landed a $200.8 million loan for its acquisition of its partner’s stake in a 467-unit Long Island City apartment complex.
The firm, headed by Jonathan Simon and Matthew Baron, closed on its purchase of Quadrum Global’s interest in the ALTA LIC earlier this week. The transaction, which involved a 96.45 percent stake in the 43-story tower, was valued at $313.2 million.
Simon Baron is funding the purchase with a loan from a consortium of lenders that includes AIG Investments, the United States Life Insurance Company and the Union Fire Insurance Company of Pittsburgh. The loan package includes $50.8 million in new financing.
The property, at 29-22 Northern Boulevard, is billed as the largest ground-up co-living development in the country, with 14 floors of co-living units (from floors two to 16). The apartments, which are managed by co-living firm Ollie, have monthly rents ranging from $1,380 to $2,063.
Simon Baron also recently bought out its partner’s interest in an Upper West Side rental property. Simon Baron paid $131 million for Quadrum’s 97.8 percent stake in 393 West End Avenue, a 16-story, 114-unit rental building at the corner of West 79th Street.
The two firms continue to partner on a number of properties, including the Arlo Hotel in NoMad and The Chamberlain in the Upper West Side.
HKS Real Estate Advisors’ Ayush Kapahi negotiated the financing. Simon Baron did not immediately return requests for comment.