$17M pre-foreclosure filed on commercial property in FiDi
74 Broad Street (Credit - Google)
Pacific Western Bank filed to foreclose on debt totaling more than $17 million secured by Caspi Development and the Mactaggart Family & Partners investment arm Western Heritable Investment Company’s 74 Broad Street in the Financial District, in Manhattan. The bank alleges a maturity default, claiming the full loan was due on September 10, 2022, following a one-year extension, and it has not been repaid. The bank is seeking the appointment of a receiver to manage the property.
The office building in the Financial District has 21,216 square feet of built space and 11,668 square feet of additional air rights for a total buildable of 32,870 square feet according to PincusCo analysis of city data.
Court filings are the positions of one party, and are not necessarily accurate or complete.
In 2015, Caspi Development, with its partner, bought 74 Broad Street for $14.25 million, at the time borrowing $15.8 million from Emerald Creek Capital. Later, in 2018, the existing debt was assigned to Pacific Western Bank.
According to the Caspi website, “The building is being tastefully renovated to create boutique, full-floor office opportunities in the 4,000 to 5,000 square foot range.”
According to the complaint, “Pursuant to each Loan Agreement, the entire balance of principal and accrued interest and other amounts then outstanding under the Loans were to be paid on or before September 10, 2021… Borrower requested and Plaintiff agreed to extend the Initial Maturity Date to September 10, 2022… Borrower’s failure to pay the entire principal and accrued interest and other amounts then outstanding under the Loans by the September 10, 2022 Maturity Date was an immediate Event of Default thereunder.”
The 74 Broad Street parcel has frontage of 33 feet and is 100 feet deep with a total lot size of 3,287 square feet. The lot is irregular. The zoning is C5-5 which allows for up to 15 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4.6 million.
Direct link to the property’s ACRIS page and link to DOB NOW portal.