Merchants Hospitality borrows $38M from Taconic Capital Advisors for Z NYC Hotel in Long Island City

Merchants Hospitality through the entity 1101-43 Ave Acquisition LLC as borrower signed a loan agreement with lender Taconic Capital Advisors through the entity 11-01 43rd Avenue Lender LLC valued at $38.0 million for the 100-key Z NYC Hotel at 11-01 43rd Avenue in Long Island City. The deal closed on September 30, 2019 and was recorded on October 8, 2019.
The property contains a total of 31,520 square feet of built space. The property has 480 square feet of available development rights.
The average loan per buildable square foot is $1,188.
The last time the property sold was July 31, 2018, when Merchants acquired it for a reported $43 million, although only $32.25 million appears in property records. The new financing was arranged by Iron Hound Management’s Chris Herron and Kevin Thompson, according to the Commercial Observer. The prior lender, CIM Real Estate Credit, assigned the $30 million it provided in July 2018 to Taconic, which added $8 million in new debt.

Over the past five years, there has been one NYC Department of Buildings permit application filed for this parcel valued at more than $20,000. There was one renovation/alteration project (A2) applied for with a total estimated value of $138,400.
Direct link to Acris document. link
Direct link to the city’s interactive property map, ZOLA. link
A recent story on the property. link.