Flag Luxury Group signs $200M refi loan with Bank OZK for two hotel buildings in NoMad

Flag Luxury Group through the entity Rp1185 LLC as borrower signed a refi loan with lender Bank OZK through the entity Bank Ozk valued at $200 million for two hotel buildings including the hotel building at 29 West 28th Street in NoMad, Manhattan and hotel building at 1185 Broadway in NoMad, Manhattan.
The deal closed on December 31, 2021 and was recorded on February 9, 2022. The prior lender was Atalaya Capital Management which held debt that had an original loan amount of $250 million.
The two properties have 544,668 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $367 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 signatory for Flag Luxury Group was Adam Raboy. The signatory for Bank OZK was Clifton Hill.

This is a Ritz-Carlton hotel. This is a refinance of a senior loan and a building loan with Bank OZK as the new lender. A project loan was combined into a senior loan.
In NoMad, the majority, or 59 percent of the 14.3 million square feet of built space are office buildings, with residential elevator buildings next occupying 17 percent of the space. In sales, NoMad has 3.8 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 12th highest in Manhattan. For development, NoMad has had very little major development activity relative to other neighborhoods.It had 268,290 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.
On the tax block, the majority, or 62 percent of the 1.5 million square feet of built space are hotel buildings, with office buildings next occupying 16 percent of the space.
Within a 400-foot radius of 29 West 28th Street, PincusCo identified 24 commercial real estate items of interests occurred over the past 24 months.
Of those 24 items, one was in new building development. It was a new building permit issued on July 14, 2021 for a 24,325-square-foot R-1 building with 52 residential units at 1162 Broadway.
Of those 24 items, three were for major renovation including a certificate of occupancy change. They were one permit applications with a total initial cost of $2 million, one permit with a total initial cost of $700,000 and one initial temporary certificate of occupancy issuance for a project that initially costed $250,800. The most recent of these three items was the filing on October 14, 2021 for a 129,640-square-foot R-1 building with 168 residential units at 1170 Broadway.
Of those 24 items, seven were sales above $5 million totaling $1.9 billion. The most recent of the seven was Mohammad A. Mahmood which bought the 9,165-square-foot, nine-unit rental (C5) on 29 West 27th Street for $5.8 million from Tauber Properties on November 5, 2021.
Of those 24 items, 13 were loans above $5 million totaling $725.7 million. The most recent of the 13 was Yucaipa Companies which borrowed $80 million from Prospect Ridge secured by the 9,763-square-foot, seven-unit hotel (HB) on 1164 Broadway and one other property on August 6, 2021.

Direct link to Acris document. link