NEW YORK CITY—The DSA Property Group has secured $45 million in acquisition and redevelopment financing for the conversion of a student housing property to a multifamily building in Lower Manhattan.
Located at 106 Fulton St., the 15-story, approximately 75,000-square-foot property will be made into a mid-luxury apartment complex after operating as a student dormitory for Pace University since 1999.
The ground floor offers 3,643 square feet of retail space with 50 feet of frontage on Fulton Street and 22 feet of frontage on Dutch Street.
The seller, which was Pace, was represented by NGKF Capital Markets. Meridian Capital Group arranged the two-year loan—which is being provided by Ladder Capital—on behalf of DSA. The financing vehicle features a LIBOR-based floating rate, interest-only payments and a six-month extension option. Pace was represented by NGKF Capital Markets.
The transaction was negotiated by Meridian EVP Avi Weinstock, senior managing director Ronnie Levine, managing director Josh Rhine and VP Luke Hingson, who are all based here in the company's headquarters.
“Meridian structured a deal uniquely tailored to our risk tolerance,” says Arik Lifshitz, DSA chairman. “Despite our initial misgivings, Josh made us comfortable with the deal, and together with Ronnie walked us through a more complex process. We trusted Meridian to not only get us the best deal, but also the right deal, and they delivered.”
Adds Rhine, “The redevelopment of 106 Fulton St. will service a unique niche in the Financial District by providing a high-quality product to its tenants, who are expected to be comprised of predominantly young professionals, at a price point far below nearby and competing luxury buildings.”
Notes Meridian, the neighborhood is undergoing a complete shift from its retail and office roots to a luxury residential area with retail and upgraded public transportation access. The property is situated within walking distance from the A, C, 2, 3, J, Z and 4 subway lines and is a short distance from the Franklin D. Roosevelt East River Drive and the Brooklyn Bridge.
Located at 106 Fulton St., the 15-story, approximately 75,000-square-foot property will be made into a mid-luxury apartment complex after operating as a student dormitory for Pace University since 1999.
The ground floor offers 3,643 square feet of retail space with 50 feet of frontage on Fulton Street and 22 feet of frontage on Dutch Street.
The seller, which was Pace, was represented by NGKF Capital Markets. Meridian Capital Group arranged the two-year loan—which is being provided by Ladder Capital—on behalf of DSA. The financing vehicle features a LIBOR-based floating rate, interest-only payments and a six-month extension option. Pace was represented by NGKF Capital Markets.
The transaction was negotiated by Meridian EVP Avi Weinstock, senior managing director Ronnie Levine, managing director Josh Rhine and VP Luke Hingson, who are all based here in the company's headquarters.
“Meridian structured a deal uniquely tailored to our risk tolerance,” says Arik Lifshitz, DSA chairman. “Despite our initial misgivings, Josh made us comfortable with the deal, and together with Ronnie walked us through a more complex process. We trusted Meridian to not only get us the best deal, but also the right deal, and they delivered.”
Adds Rhine, “The redevelopment of 106 Fulton St. will service a unique niche in the Financial District by providing a high-quality product to its tenants, who are expected to be comprised of predominantly young professionals, at a price point far below nearby and competing luxury buildings.”
Notes Meridian, the neighborhood is undergoing a complete shift from its retail and office roots to a luxury residential area with retail and upgraded public transportation access. The property is situated within walking distance from the A, C, 2, 3, J, Z and 4 subway lines and is a short distance from the Franklin D. Roosevelt East River Drive and the Brooklyn Bridge.
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