Magna signs $112M refi loan with Wells Fargo for hotel in Garment District

Magna Hospitality Group through the entity NY 37th ES LLC as borrower signed a refi loan with lender Wells Fargo valued at $112 million for the hotel at 60 West 37th Street in Garment District, Manhattan.
The deal closed on May 30, 2025 and was recorded on June 9, 2025. The prior lender was Starwood Property Trust which held debt that had an original loan amount of $94 million. The two condominium units, hotel and parking, that make up the building have 163,694 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $684 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 Magna Hospitality Group was Jennifer Adams Shepler . The signatory for Wells Fargo was Matthew Kacheris .

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 60 West 37th Street.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have not received any significant violations in the last year.

Development

For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. 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 Garment District, The majority, or 69 percent of the 52.3 million square feet of commercial built space are office buildings, with hotel buildings next occupying 13 percent of the space. In sales, Garment District has the 9th highest sale turnover among other neighborhoods in the city with $1.1 billion in sales volume in the last two years. For development, Garment District is the 5th most active neighborhood among other neighborhoods. It had 8 million square feet of commercial and multi-family construction under development in the last two years, which represents 15 percent of the neighborhood’s built space.

The block

On the tax block of 60 West 37th Street, PincusCo has identified the owners of 11 of the 29 commercial properties representing 1,014,073 square feet of the 1,676,094 square feet. The largest owner is Vanbarton Group, followed by Empire Management and then Chandrakant Patel.
On the tax block, there was one new building construction project filed totaling 46,824 square feet. It is a 143-unit, 46,824 square-foot hotel/dormitory/shelter (R-1) building submitted by Richard Fung with plans filed December 4, 2014 and permitted March 9, 2017.

The majority, or 65 percent of the 1.7 million square feet of built space are office buildings, with elevator buildings next occupying 27 percent of the space.

The borrower

The PincusCo database currently indicates that Magna Hospitality Group owned at least six commercial properties in New York City with 932,143 square feet and a city-determined market value of $338.4 million. (Market value is typically about 50% of actual value.) The portfolio has $902.4 million in debt, with top three lenders as Wells Fargo, PIMCO, and Blackstone Group respectively. Within the portfolio, all identified are hotel properties. They are all located in Manhattan.

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