Emmut Properties signs $68.5M refi loan with Deutsche Bank for hotel in Upper West Side
Emmut Properties through the entity 45 Emmut Properties LLC as borrower signed a refi loan with lender Deutsche Bank valued at $68.5 million for the hotel building (H2) at 45 West 81st Street in Upper West Side, Manhattan.
The deal closed on July 17, 2023 and was recorded on July 28, 2023. The prior lender was Benefit Street Partners which held debt that had an original loan amount of $74 million.
Emmut bought the property in December 2021 for $79.8 million.
The property has 133,229 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $514 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The owner bought the property on December 16, 2021, for $79.8 million. The signatory for Emmut Properties was John Young. The signatory for Deutsche Bank was Timothy Donahoe and John Skorupski.
Prior sales and revenue
The owners according to the Department of Housing Preservation and Development includes John Young, head officer and Jeniffer Suarez, site manager. The business entity is 45 Emmut Properties Llc.
The property
The hotel building in Upper West Side has 133,229 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 125 feet and is 102 feet deep with a total lot size of 12,771 square feet. The zoning is R10A which allows for up to 10 times floor area ratio (FAR) for residential with inclusionary housing. The property is in the Upper West Side / Central Park West Historic District. The city-designated market value for the property in 2022 is $25.9 million. The most recent loan totaled $74 million and was provided by Benefit Street Partners on December 20, 2021.
Violations and lawsuits
There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received one DOB violation in the last year.
Development
There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.
The neighborhood
In Upper West Side, The majority, or 59 percent of the 52.9 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 23 percent of the space. In sales, Upper West Side has the 7th highest sale turnover among other neighborhoods in the city with $2.3 billion in sales volume in the last two years. For development, Upper West Side has 2.9 times the average amount of major developments relative to other neighborhoods and is the 10th highest in Manhattan. It had 3 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of eight of the 15 commercial properties representing 282,742 square feet of the 343,357 square feet. The largest owner is Rudin Management, followed by Phyllis Shulevitz and then James Nicholson.
There are no active new building construction projects on this tax block.
The majority, or 39 percent of the 343,357 square feet of built space are hotel buildings, with elevator buildings next occupying 32 percent of the space.
The borrower
The PincusCo database currently indicates that Emmut Properties owned at least seven commercial properties with 168 residential units in New York City with 258,628 square feet and a city-determined market value of $62.7 million. (Market value is typically about 50% of actual value.) The portfolio has $171.8 million in debt, with top three lenders as Benefit Street Partners, Shanghai Commercial Bank, and Keysite Capital Partners respectively. Within the portfolio, the bulk, or 52 percent of the 258,628 square feet of built space are hotel properties, with elevator properties next occupying 42 percent of the space. They are all located in Manhattan.
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