Marcus Partners, Dalan Management sign $30.6M refi with Ladder for two office buildings in Park Ave South

Marcus Partners and Dalan Management through the entity 33rd Street TIC Owner LLC as borrower signed a refi loan with lender Ladder Capital through the entity Ladder Capital Finance LLC valued at $30.6 million for two office buildings including the office building at 10 East 33rd Street in Park Avenue South, Manhattan and office building at 12 East 33rd Street in Park Avenue South, Manhattan.
The deal closed on January 31, 2022 and was recorded on February 9, 2022. The prior lender was M&T Bank which held debt that had an original loan amount of $38 million.
The two properties have 56,724 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $538 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 Marcus Partners and Dalan Management was David R. Hooke. The signatory for Ladder Capital was David Traitel.
The two properties with a total of 56,724 square feet of built space generated revenue of $2.7 million per year or $47 per square foot.

Over the past five years, there have been 7 NYC Department of Buildings permit applications filed for this parcel valued at more than $20,000. There were 7 renovation/alteration projects (A2) applied for with a total estimated value of $288,525.
In Park Avenue South, the majority, or 60 percent of the 9.9 million square feet of built space are office buildings, with residential elevator buildings next occupying 23 percent of the space. In sales, Park Avenue South has had very little sales volume relative to other neighborhoods with $228.2 million in sales volume in the last two years. For development, Park Avenue South has near average amount of major developments among other neighborhoods and is the 20th highest in Manhattan. It had 838,962 square feet of commercial and multi-family construction under development in the last two years, which represents 8 percent of the neighborhood’s built space.
On the tax block, the majority, or 82 percent of the 1.5 million square feet of built space are office buildings, with residential elevator buildings next occupying 13 percent of the space.
Within a 400-foot radius of 10 East 33rd Street, Pincusco identified seven commercial real estate items of interests occurred over the past 24 months.
One of those seven items was a sale which Sudhir M. Parikh bought one condo unit in the 4,477-square-foot, 40-unit mixed-use building (RC) on 161 Madison Avenue for $5.2 million from Gregory Tolston on January 4, 2021.
Of those seven items, six were loans above $5 million totaling $269.4 million. The most recent of the six was Pi Capital Partners which borrowed $18.4 million from Bank of China secured by the 27,785-square-foot, five-unit office building (O5) on 335 5th Avenue on December 16, 2021.

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