![A photo illustration of Yorkshire Towers, Lexington Towers, the Fifty Hotel & Suites and 475 Fifth Avenue (Google Maps, LoopNet, iStock)](https://static.therealdeal.com/wp-content/uploads/2022/06/ft_NY_TopManhattanLoans-250x179.jpg)
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Adellco scores $95M refi for Madison Avenue condo conversion
Developer plans to turn historic Carnegie Hill hotel into luxury residences
![1295 Madison Avenue, Lantern Real Estate’s Tal Bar-or, Adellco’s Matthew Adell and G4’s Jason Behfarin (iStock, The Wales, Lantern Real Estate, American Friends of Blérancourt, G4, Illustration by Kevin Cifuentes for The Real Deal)](https://static.therealdeal.com/wp-content/uploads/2022/07/NY-Adellco-scores-95M-refi-for-Madison-Avenue-condo-conversion-MAIN.jpg)
Developers behind the conversion of a historic Upper East Side hotel into a luxury condominium got a major boost for their project.
Adellco secured a $95 million refinancing of its construction loan for The Wales at 1295 Madison Avenue in Carnegie Hill, Lantern Real Estate co-founder Tal Bar-or told The Real Deal. The $95 million also refinanced senior and mezzanine loans from Arbor Realty Trust.
Bar-or and partner David Strongwater were the mortgage brokers on the transaction, and G4 Capital Partners was the lender. Adellco president Matthew Adell and G4 co-partner Jason Behfarin signed for the respective parties.
Adellco purchased the century-old Hotel Wales on the corner of East 92nd Street and Madison Avenue for $56 million in 2018, 6sqft reported. The real estate development and management firm later filed plans to convert the 10-floor building into 21 luxury condominium residences and a top-floor penthouse across 53,500 square feet.
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![A photo illustration of Yorkshire Towers, Lexington Towers, the Fifty Hotel & Suites and 475 Fifth Avenue (Google Maps, LoopNet, iStock)](https://static.therealdeal.com/wp-content/uploads/2022/06/ft_NY_TopManhattanLoans-250x179.jpg)
![MaryAnne Gilmartin, 44-02 Vernon Boulevard, 98 De Kalb Avenue and Rockrose Development's Justin Elghanayan in Mott Haven (Google Maps, iStock, Getty, Rockrose)](https://static.therealdeal.com/wp-content/uploads/2022/06/ft-NY-Biggest-outer-borough-loans-topped-1B-in-May-MAIN-250x179.jpg)
The 87-key landmark hotel permanently shut its doors in 2020, the New York Post reported. Sales for the luxury residences began last December, with prices reportedly ranging from $3.85 million to more than $7.4 million.
Adellco received approval for its conversion project from the Landmarks Preservation Commission last spring. Move-ins are expected to begin early next year, according to Adellco.