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(Read more on the debt and equity markets.)

NEW YORK CITY-Carlton Advisory Services Inc. has arranged $124 million in institutional equity and senior debt financing for Gotham Realty Holdings’ acquisition of 110 E. 42nd St., a 206,853-sf office condominium in Midtown Manhattan. Carlton accessed a major money management firm to provide 80% of the equity for the acquisition, marking this firm’s first real estate transaction.

According to www.mrofficespace.com, asking rents per sf are $62; however, Michael Campbell, partner at Carlton tells GlobeSt.com that he believes asking rents are around $65 per sf. Office tenants include Eller Media, Morgan Lewis & Bockius LLP, Ackman & Ziff Real Estate Group LLC, Newmark Real Estate LLC; and Cipriani serves as the retail tenant.

Campbell tells GlobeSt.com that the money management firm does not want its name to be out there. The first mortgage was placed with a major investment bank at a competitive spread, 10-year interest-only period and tenant improvement and leasing commission facility, Carlton says in a prepared statement. Carlton’s efforts provided Gotham with 94% of the capital required to consummate the transaction.

The property is located on the south side of East 42nd Street between Park and Lexington avenues, directly across the street from Grand Central Station. It is benefiting from the robust leasing activity in the Grand Central submarket. Furthermore, “the building has significant upside due to its below market rents and near term tenant lease expirations,” Carlton notes.

Carlton recently arranged the $140-million equity and debt recapitalization of 104 W. 40th St. as GlobeSt.com recently reported. Carlton also recently arranged a $130-million loan on behalf of Metropolitan Real Estate Investments for the acquisition of 292 Madison Ave. Metropolitan is a partner in Tao-Maofim, the joint venture that bought that property.

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