NEW YORK CITY—A-M Properties and Quality Capital have closed on approximately $46 million in financing for a Class-A office condominium at 420 Fifth Ave. in Midtown.
The short-term, floating rate loan was used to acquire the 71,960-square-foot net rentable space—which is 100% owner-occupied by the seller, Girl Scouts of America—for $48.2 million, or $670 per square foot.
The occupier has indicated that it will vacate the space incrementally between closing through Summer 2017, when the current lease expires. The office condominium spans the 14th to 17th floors of the building, which sits two blocks south of Bryant Park.
Following Girl Scouts of America's exit, the sponsor's business plan includes improving and modernizing the property's space in order to sign new long-term leases to high quality tenants that are seeking Class-A office space in the Midtown submarket.
NGKF Capital Markets, serving as the exclusive advisor to the sponsors, closed the deal. Executive managing director Jordan Roeschlaub and managing director Daniel Fromm led the team that arranged and structured the financing.
Pine River Capital Management issued the senior loan, which included a future funding component to support near-term capital improvements and leasing costs associated with the subject property's repositioning plan.
“Combined with the strength of the sponsorship and the quality of the asset, our team ran an institutional process that ultimately allowed us to secure a favorable loan for the acquisition and repositioning of the property,” states Roeschlaub.
The short-term, floating rate loan was used to acquire the 71,960-square-foot net rentable space—which is 100% owner-occupied by the seller, Girl Scouts of America—for $48.2 million, or $670 per square foot.
The occupier has indicated that it will vacate the space incrementally between closing through Summer 2017, when the current lease expires. The office condominium spans the 14th to 17th floors of the building, which sits two blocks south of Bryant Park.
Following Girl Scouts of America's exit, the sponsor's business plan includes improving and modernizing the property's space in order to sign new long-term leases to high quality tenants that are seeking Class-A office space in the Midtown submarket.
NGKF Capital Markets, serving as the exclusive advisor to the sponsors, closed the deal. Executive managing director Jordan Roeschlaub and managing director Daniel Fromm led the team that arranged and structured the financing.
Pine River Capital Management issued the senior loan, which included a future funding component to support near-term capital improvements and leasing costs associated with the subject property's repositioning plan.
“Combined with the strength of the sponsorship and the quality of the asset, our team ran an institutional process that ultimately allowed us to secure a favorable loan for the acquisition and repositioning of the property,” states Roeschlaub.
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