Madison Secures $105M Loan for Greenwich Village Condos
Tower near Washington Square spawned fight with Preservation Society.
Madison Realty Capital has secured a $105M construction loan to build a 19-story condo tower in Greenwich Village in Manhattan a block away from Washington Square, a project the was proposed two years ago but generated opposition from the neighborhood.
G4 Partners is providing the financial package for the building at 14 Fifth Avenue, between 9th and 10th streets. G4 has replaced Connectone Bank as the senior lender on the project. Connectone provided Madison with a $29.6M loan in 2021.
The Village Preservation Society tried to block the project, which demolished a four-story, partially rent stabilized 20-unit apartment building on the site.
NYC’s Landmarks Preservation Commission permitted the building to be razed after Madison reduced the size of its proposal for the site, cutting it down from 21 floors and lowering the number of condos from 18 to 14.
The elimination of rent-stabilized units, which is permissible if a building is demolished, also drew complaints from Manhattan’s borough president, among others.
Madison purchased the property in 2015 for $27.5M.
The company also has been expanding its NYC portfolio by acquiring foreclosed properties in recent months. As the senior lender on a development site at 159 Broadway in the Williamsburg section of Brooklyn, Madison Realty used its existing debt on the property to purchase it from Hager in a bankruptcy proceeding.
Madison had provided a $28M loan on the site, which is next door to the historic Williamsburg Savings Bank building and across the street from Peter Luger Steakhouse, two NYC landmarks.
Hager had filed plans in 2018 to build a 235-room hotel, condos, a bar and restaurant on the site.
In October, Madison acquired another property for which it was the lender. Fortis Property Group avoided a foreclosure by selling sites at 350 Hicks Street and 91-95 Pacific Street in Brooklyn’s Cobble Hill section to Madison.
Madison had initiated a UCC foreclosure on the equity interests in the properties, with an auction originally set for September. Fortis was planning to build three developments on sites south of Atlantic Avenue, including two condo buildings encompassing 150 units, in a campus known as River Park.
Fortis retained ownership of one of the developments, the 15-story, 25-unit 5 River Park at 347 Henry Street.