One Seaport Receives $66M in Mezz Financing
Fortis Property Group received the loan from Mack Real Estate.
NEW YORK CITY—Fortis Property Group secured a $66 million mezzanine loan for a partial recapitalization of One Seaport. The 60-story, condominium tower is located at 161 Maiden Lane in the Financial District, near the South Street Seaport.
A Newmark Knight Frank capital markets team led by Dustin Stolly, Jordan Roeschlaub and Nick Scribani arranged the financing with a Mack Real Estate group headed by Kevin Cullinan and Jared Horowitz. Eric Schoenfeld of Tannenbaum Helpern Syracuse & Hirschtritt represented Fortis as legal counsel.
NKF notes that the 98-unit luxury condominium already has 72 units under contract, with the anticipated sell-out value of the building exceeding $275 million. NKF states the property is among the fastest-selling projects for Douglas Elliman and the sales contracts to date have been executed as listed without discounts.
On Sept. 21, 2017, a construction worker on the project, Juan Chonillo, 43, who was from Ecuador and was the father of five children, fell 27 stories to his death, as reported by DNAInfo. He was wearing a harness but it was not clipped onto anything. As a result the concrete subcontractor, SSC High Rise Construction, pleaded guilty to manslaughter, as well as wage theft and insurance fraud schemes. SSC paid approximately $842,000 in restitution, and was assessed a $10,000 corporate fine, according to the New York District Attorney’s office.
In April 2018, The Real Deal reported that Fortis’s general contractor, Pizzarotti, replaced SSC with a new concrete subcontractor, RC Structures.