Miki Naftali took one step closer to realizing his ambitious plans on Fifth Avenue.
The developer landed a $675 million loan from JPMorgan to close his purchase of the 33-story 800 Fifth Avenue rental building from Eliot Spitzer and the Winter Organization, sources told The Real Deal.
“The acquisition of 800 Fifth Avenue reflects our mission to invest strategically and thoughtfully in New York’s real estate market,” a spokesperson for the Naftali Group wrote in an email. “We look forward to sharing our vision for the contextual redevelopment of this site with the community in the coming months.”
Naftali agreed to buy the 208-unit building last March for more than $800 million, which works out to about $2,400 per square foot.
He plans to tear down the existing building and replace it with a new tower, according to a source familiar with the project. Naftali’s new development consultants at Compass had calculated that he could sell condo units in a new building on the site for $11,000 per square foot, The Promote previously reported.
A Newmark team led by Doug Harmon and Adam Spies negotiated the sale of the building, while Newmark’s Jordan Roeschlaub and Nick Scribani arranged the debt.
Naftali’s partners on the deal are a handful of high-net-worth families from Mexico, Japan and Israel, according to a source familiar with the project.