Midtown Equities signs $103M refi for Battery Maritime Building in FiDi, up from $60M
Midtown Equities through the entity 10 South Street LLC as borrower signed a refi loan with lender Citibank, JPMorgan Chase, and Argentic Investment Management valued at $103 million for the Battery Maritime Building (H5) at 10 South Street in Manhattan.
The deal closed on February 23, 2024 and was recorded on March 7, 2024. The prior lender was Acore Capital which held debt that had an original loan amount of $60 million.
The property has 158,197 square feet of built space and 1,757,988 square feet of additional air rights for a total buildable of 1,915,020 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $651 and the price per buildable square foot is $53 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 Midtown Equities was Jack Cayre. The signatory for Citibank, JPMorgan Chase, and Argentic Investment Management was Jonathan Misher, Jessica Wong, and Ryan Supple.
The property
The hotel building in Financial District has 158,197 square feet of built space and 1,757,988 square feet of additional air rights for a total buildable of 1,915,020 square feet according to a PincusCo analysis of city data. The parcel has frontage of 311 feet and is 555 feet deep with a total lot size of 191,502 square feet. The lot is irregular. The zoning is C4-6 which allows for up to 3.4 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $48.6 million. The most recent loan totaled $60 million and was provided by ACORE Capital on May 6, 2022.
Violations and lawsuits
There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received five DOB violations, $12,500 in ECB penalties, and $12,850 in OATH penalties in the last year.
Development
For the tax lot building, it received its initial renovation certificate of occupancy on June 15, 2020. There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.
The block
On this tax block, PincusCo has identified the owners of four of the four commercial properties representing 469,272 square feet of the 469,272 square feet. The two identified owners are Midtown Equities and City Of New York.
There are no active new building construction projects on this tax block.
All properties are specialty.
The borrower
The PincusCo database currently indicates that Midtown Equities owned at least five commercial properties with 121 residential units in New York City with 550,858 square feet and a city-determined market value of $128.6 million. (Market value is typically about 50% of actual value.) The portfolio has $300.5 million in debt, with top three lenders as ACORE Capital, Signature Bank, and Centennial Bank respectively. Within the portfolio, the bulk, or 47 percent of the 550,858 square feet of built space are office properties, with specialty properties next occupying 29 percent of the space. The bulk, or 62 percent of the built space, is in Manhattan, with Brooklyn next at 38 percent of the space.
Direct link to Acris document. link