RXR has expanded its efforts in moving through the wave of office-to-residential conversions in Manhattan. That latest will involve transforming 33-story office 61 Broadway, in the Financial District, into a 796-unit residential tower, in partnership with One Investment Management.
Originally, 61 Broadway was delivered in 1913.
To support the efforts, the two have closed on more than $500 million in funding. This includes a $420 million construction loan from affiliates of Apollo and a $55 million tax equity investment coming from JPMorgan. The redevelopment will also be a candidate for federal and state tax credits.
Of the units, 25 percent of roughly 200 apartments will be designated under affordable housing, which is reserved for those making 80 percent of the area's median income.
The project calls for 40,000 square feet of amenity space, which includes resident storage, a rooftop lounge and lounges located at the top level of the building.
With construction set to begin this month, the first batch of homes is scheduled to deliver during the first half of 2028.
JLL's Andrew Scandalios, Jennifer Zelko, Drew Isaacson and David Giancola represented RXR on the deal.
"61 Broadway demonstrates what can be achieved when thoughtful public policy meets private-sector expertise," Scott Rechler, chairman and CEO of RXR, said in a statement.
"RXR is uniquely positioned to execute complex office-to-residential conversions, leveraging our integrated platform, capital relationships, and development experience to reposition office buildings into high-quality, mixed-income housing that strengthens the city for the long term."
This marks another office-to-residential project for RXR in Manhattan. Currently, the developer is working on transforming 1.1 million square foot 5 Times Square into as many as 1,200 residential units. Also, the company said that it has been involved with converting the former Pfizer headquarters, at 219 and 235 East 42nd Street, into 1,602 luxury apartments. Last year, Metro Loft Management and David Werner Real Estate Investments secured a $720 million loan for the project, the largest ever supplied for an office-to-residential transformation in New York City's history, at the time.
Newmark reported in February that 15.5 million square feet of office space in NYC has either started conversion or is in the plans for one.
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