New York

"This deal is the largest Downtown since the start of the pandemic, an unmistakable sign of New York City's recovery and resurgence."

The acquisition expands the REIT's footprint in a submarket that it says is a preferred location for companies and young professionals in the TAMI sector.

Canyon Partners Real Estate and Pacific Western Bank partnered to provide the construction loan.

They will begin renovating the 1.2-million square foot facility into an office and retail destination in West Chelsea.

The REIT still retains a 51% stake in the property and will continue to oversee its management.

New York City Property Fund II is a value-add fund targeting a portfolio in excess of $1 billion.

MCR acquired the 725-room hotel property in a joint venture with the Island Capital Group and Three Wall Capital.

The transaction values the 943,000 square foot Manhattan office at $875 million.