NEW YORK CITY—Madison Realty Capital has approved a $23.7-million loan to borrower Empire Realty Management to refinance 54 Thompson St., a mix-used seven-story property in Manhattan's SoHo submarket. Loan proceeds will fund tenant improvements, leasing and loan closing costs.

Madison Realty's $1.1-billion MRC Debt Fund IV, its newest and latest, originated the loan for the 100% occupied property. The transaction was a no-brainer deal, says Josh Zegen, co-founder and managing principal, in a prepared statement. Perched by its location in an amenity and transportation-rich submarket, the building has a strong tenant roster.

Empire Realty acquired the estimated 28,164-square-foot building in June 2005 for $15 million, or $536 per square foot. The loan will replace a $21.4-million Ladder Capital loan originated in March 2018.

Turnkey co-working firm Breather occupies 12,777 square feet on the fourth and fifth floors of the property, which Empire plans to build-out further with the loan proceeds.

Other tenants occupying the property situated on the northeast corner of Thompson and Broome Street, include Cheshire Films, a luxury branding studio; Thompson Studios, a recording complex; and creative agency Visualhouse USA. On the ground floor is Mediterranean restaurant Pera. The ground-floor retailer and the building's full occupancy made the property attractive to loan on, Zegan said.

Instant Insights /

Madison Realty Capital Funds $24M Loan for SoHo Mixed-Use Property

Related Stories

Recommended For You