Fred Ohebshalom’s Fifth Avenue Hotel snagged some relief with a refinancing, The Real Deal has learned.
The new loan from KSL Capital Partners and Columbia Pacific ends a foreclosure by Madison Realty Capital.
Madison Realty purchased the distressed $82 million loan from Santander on the hotel with Marvin Azrak’s Maguire Capital and Neil Luthra’s Newbond Holdings last year. Columbia Pacific held the mezzanine loan.
The lender initiated a foreclosure last summer alleging the loan matured and the property had three mechanic liens, according to the Commercial Observer. The new loan from KSL replaces Madison, Newbond and Maguire’s loan.
Ohebshalom purchased the site of the hotel in 1978. The 153-key hotel was constructed on the former estate of Gilded Age socialite Charlotte Goodridge. It paired the original five-story building with a new 23-story tower. Ohebshalom’s Empire Management secured financing from Santander in August 2019 to complete the hotel.
The upscale hotel opened in 2023 and offers rates between $800 to $3,000 a night.
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