Madison Realty Capital signs $102M senior construction loan for East Village project, part of $130M package

Madison Realty Capital through the entity 644 East 14th Street Owner LLC as borrower signed a new construction loan with lender Apollo Global Management through the entity Athene Annuity And Life Company valued at $102 million for the 200-unit residential development project at 644 East 14th Street in Alphabet City, Manhattan.
Crain’s reported the total finance package was $130 million, and of that $102 was recorded in city records for the senior loan and Lionheart Strategic Management provided an additional $27.6 million.

The deal closed on July 11, 2024 and was recorded on July 22, 2024.
The owner bought the property on April 29, 2020, for $31.3 million. The signatory for Madison Realty Capital was Urian Yap. The signatory for Apollo Global Management was Jeffrey Horowitz.

The block

On this tax block, PincusCo has identified the owners of five of the 11 commercial properties representing 514,995 square feet of the 552,149 square feet. The largest owner is New York City Housing Authority, followed by Madison Realty Capital and then Kim Tai Sik.
On the tax block, there was one new building construction project filed totaling 63,932 square feet. It is a 50-unit, 63,932 square-foot residential (R-2) building submitted by Rabsky Group and filed by Simon Dushinsky with plans filed April 9, 2014 and permitted December 9, 2015.

The majority, or 89 percent of the 552,149 square feet of built space are elevator buildings, with walkup buildings next occupying 9 percent of the space.

The borrower

The PincusCo database currently indicates that Madison Realty Capital owned at least 64 commercial properties with 2,633 residential units in New York City with 2,906,315 square feet and a city-determined market value of $401.1 million. (Market value is typically about 50% of actual value.) The portfolio has $1.5 billion in debt, with top three lenders as Signature Bank, MF1 Capital, and Elliott Investment Management respectively. Within the portfolio, the bulk, or 72 percent of the 2,906,315 square feet of built space are elevator properties, with walkup properties next occupying 12 percent of the space. The bulk, or 40 percent of the built space, is in Queens, with Brooklyn next at 31 percent of the space.

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