Heskel’s Asset Management signs $29.2M refi loan with Signature Bank for office building in Garment District
Heskel’s Asset Management through the entity Heskel’s Capital LLC as borrower signed a refi loan with lender Signature Bank valued at $29.2 million for the office building at 215 West 40th Street in Garment District, Manhattan.
The deal closed on December 10, 2021 and was recorded on January 27, 2022. The prior lender was Signature Bank which held debt that had an original loan amount of $31 million.
The property has 65,186 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $448 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 August 27, 2015, for $52.5 million.
The signatory for Heskel’s Asset Management was Ramin Sarraf. The signatory for Signature Bank was Gregory Fantauzzi.
The 65,186-square-foot property generated revenue of $2.3 million or $35 per square foot, according to the most recent income and expense figures.
(121028244)The DOB issued a major alteration (A1) initial temporary certificate of occupancy for the building on June 7, 2013.
Ramin Sarraf is a senior partner at Heskel’s Asset Management.
In the Garment District, the majority, or 69 percent of the 53 million square feet of built space are office buildings, with hotel buildings next occupying 12 percent of the space. In sales, Garment District has 4.1 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 9th highest in Manhattan. For development, Garment District has had very little major development activity relative to other neighborhoods. It had 561,900 square feet of commercial and multi-family construction under development in the last two years, which represents 1 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other office buildings in the past 12 months.
On the tax block, the majority, or 53 percent of the 755,385 square feet of built space are office buildings, with hotel buildings next occupying 41 percent of the space.
Within a 400-foot radius of 215 West 40th Street, PincusCo identified four commercial real estate items of interests occurred over the past 24 months.
One of those four items was a sale which Benderson Development bought the 141,335-square-foot hotel (H2) on 220 West 41st Street for $89 million from Jed Manocherian on October 13, 2020.
Of those four items, three were loans above $5 million totaling $897 million. The most recent of the three was Adler Group which borrowed $15 million from Apple Bank for Savings secured by the 225,981-square-foot, 30-unit office building (O4) on 550 7th Avenue on January 13, 2022.
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