Ceruzzi Properties secures $350M to refi Midtown East tower
Meritz Securities provided the financing for the Centrale
Ceruzzi Properties snagged a $350 million condo inventory loan for its luxury condominium tower in Midtown East.
Meritz Securities provided the financing for the Centrale at 138 East 50th Street, according to Commercial Observer. The loan replaces $300 million in financing that Madison Realty Capital provided in 2017. JLL’s Chris Peck, Dave Nackoul and Kristen Knappbrokered the deal. VI Development Group advised Meritz.
In 2013, Ceruzzi bought the development site from Extell Development for $86.2 million, as well as air rights that pushed the value of the deal past $100 million. The developer originally wanted to build a hotel on the site, but scrapped those plans in 2015.
The tower, designed by Pelli Clarke Pelli Architects, is more than 800 feet tall and has 124 condo units. Ceruzzi launched sales in the building in April 2019. At the time, the penthouse was listed for nearly $40 million.
New York’s luxury condo market is contending with an inventory overload, as The Real Deal reported in its cover story this month. There is $5.7 billion in existing inventory on the market and $33 billion in shadow inventory, according to a 2019 report from Halstead Development Marketing. [CO] — Kathryn Brenzel