Queens Asset Lands $35M Financing, Awaits Expansion
- May 07, 2018
Madison Realty Capital (MRC) has secured a $35 million first-mortgage loan for the redevelopment and expansion of the currently vacant 90-75 Sutphin Blvd., in Queens. The financing will pay off existing debt and construction costs, as well as fund an interest reserve. Just two months ago, MCR arranged a loan for the acquisition and completion of a partially constructed hotel in the same borough.
According to Yardi Matrix, the borrower is an entity affiliated with Sigma Management. The company acquired the six-story, 92,000-square-foot office asset in 2015, and plans to transform it over the next two years into a 206,197-square-foot development.
The western part of the upcoming project will keep its height and will encompass 28,103 square feet of office space on floors two through six. Additionally, the ground floor will have a 3,729-square-foot retail component with 28 feet of frontage along Sutphin Boulevard and an office lobby with two office elevator banks.
The eastern part will include a 181-key Hampton Inn & Suites hotel comprising 62 suites, 50 king rooms, 56 double queen rooms and 13 handicap suites. The rooms will spread across floors three through 19, while the first floor will house the hotel lobby, a 92-seat bar and restaurant, fitness center and meeting space. The second floor will include an outdoor terrace. The underground floor will have 17,400 square feet of cellar space and 37 valet parking spaces.
“With significant rezoning, infrastructure improvements and economic initiatives well underway, Jamaica is undergoing a revitalization that has turned the market into a booming hub of development. New York City developers are eager to capitalize on the anticipated continued growth of the Jamaica market and the new project at 90-75 Sutphin Blvd. is poised to become a standout in this region,” MRC Co-Founder & Managing Principal Josh Zegen said in a prepared statement.
Image courtesy of Yardi Matrix