Greystone Bassuk, a leading New York-based real estate finance advisory firm, today announced the closing of $184 million in permanent loans made to affiliates of the Gotham Organization, Inc. (“Gotham”) in two separate transactions.
The first loan was a $59,000,000 permanent mortgage to refinance The Nicole, a 19-story, 149-unit luxury “80/20” multifamily rental apartment building located at 400 West 55th Street in the Midtown West neighborhood of Manhattan. The second loan was a $125,000,000 permanent mortgage to refinance Atlas New York, a 48-story, 373-unit luxury “80/20” multifamily rental apartment building located at 66 West 38th Street. Both properties were refinanced with new 15-year fixed and floating rate permanent loans originated by Wells Fargo Multifamily Capital and structured as a direct purchase of the existing HFA and HDC tax-exempt and taxable bonds, along with supplemental taxable financing to generate additional proceeds for the Sponsor. The new debt replaces approximately $140 million in variable rate bond credit enhancement provided by Fannie Mae.
The Nicole, completed in 2003, comprises 149 residential units, 34,000 square feet of commercial space and a full suite of amenities. Of the 149 units, 30 units are set aside for low-income households. Atlas New York, completed in 2002, contains 373 units, 59,000 net rentable square feet of commercial space, an 18,000 square foot garage and several thousand square feet of indoor/outdoor amenity space. Of the 373 residential rental units, 75 units are set aside for low income households. The Sponsor has recently completed extensive renovation programs at both properties including significant upgrades to the unit interiors, common areas and amenity spaces.
Greystone Bassuk, led by President Drew Fletcher, and with support from Managing Director Matthew Klauer and Senior Associate Steven Deck, served as exclusive advisor on behalf of the Borrower. “Gotham is one of New York City’s premier developers due to its demonstrated ability to enhance neighborhoods through its creative approach to residential and commercial development,” said Mr. Fletcher. “The Nicole and Atlas New York are perfect examples of well-designed, well-managed assets that continue to be market leaders in an increasingly competitive landscape. We are extremely proud to have represented Gotham Organization on each transaction.”
“Gotham is delighted to have worked with Greystone Bassuk and Wells Fargo on these important transactions,” said David Picket, President of Gotham. “Both of these loans required creativity, tenacity and cohesion among the various stakeholders, and the Greystone Bassuk team delivered an execution that exceeded our expectations.”