Meridian Arranges Permanent Financing for Multi-Family Property in NYC
- Mar 19, 2015
The Moinian Group recently capitalized on the lending community’s fondness for the multi-family sector by orchestrating a $180 million loan for Meridian Capital Group’s refinancing of two mixed-use residential properties at 90 and 110 John St. in New York, N.Y.
“Given the risk profile of multi-family and the positive overall trends with respect to multi-family rents, lender’s interest in financing of these assets is near or at an all-time high,” Israel Schubert, senior managing director with Meridian, told Commercial Property Executive.
Meridian Capital Group secured the financing-a five-year loan–from a balance sheet lender. In Manhattan, it’s not just the apartment segment of the multi-family sector that gets lenders salivating; condominium assets are coveted as well. The 90 and 100 John Street properties are divided into two mixed-use condominiums, one of which is a 29-story tower featuring 221 luxury condos. The building is made all the more attractive by its 121,000 square feet of office and retail space. And the neighboring four-story condo building presently offers 66,000 square feet of office, retail and parking space and most notably, 150,000 square feet of additional air rights.
“The borrower plans to utilize the funds to pay off their existing mortgage and construct a new residential tower,” Drew Anderman, senior managing director with Meridian, noted in a press release. “Working closely with the development team at The Moinian Group and the lender, Meridian was able to structure a loan that allows the borrower to build over the existing four-story low-rise building and capitalize on the value of the air rights.”
Meridian is on a roll. The commercial real estate finance and advisory firm released news of another multi-family financing deal the same day it announced the Moinian transaction. Meridian secured an $80 million loan for PMC Group’s refinancing of its 248-unit luxury apartment property at 1900 Arch St. in Philadelphia. The financing came in the form of an eight-year loan from a regional balance sheet lender