NEW YORK CITY-The Blackstone Group has apparently emerged as the winning bidder for the debt on 1140 Ave. of the Americas, a note that reportedly went to market in January. Citing unnamed sources, Bloomberg News reported Friday that the private equity giant is paying about $100 million for the note, which has a face value of $116 million, with the goal of taking title to the 22-story office property.
According to published reports, HFF marketed the debt on behalf of Germany’s Landesbank Baden-Wuerttemberg. An HFF spokeswoman tells GlobeSt.com her company has no comment.
A partnership of Stellar Management and Rockpoint Group bought the 231,000-square-foot office property from SL Green Realty Corp. for $97.5 million in September 2006. The partnership took on a $116-million mortgage and $13 million in mezzanine debt to acquire and renovate 1140 Sixth Ave., but defaulted on the mortgage, according to Crain’s New York Business. A spokesman for the partnership declines to comment.
Crain’s reported last month that the 1140 Sixth debt drew around 30 bidders. GlobeSt.com’s calls to Blackstone for comment were not returned by deadline.
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