Nortco Development signs $134M construction loan on Upper West Side

Nortco Development through the entity Amsterdam 88 LLC as borrower signed a new construction loan with lender Bank Hapoalim through the entity Bank Hapoalim B.M. valued at $134 million for four properties with 56 residential units including the 19-unit residential elevator building (D5) at 574 Amsterdam Avenue in Upper West Side, Manhattan, 13-unit residential walkup building (C7) at 572 Amsterdam Avenue in Upper West Side, Manhattan, and 12-unit residential walkup building (C7) at 568 Amsterdam Avenue in Upper West Side, Manhattan.

On these lots, there is one active new building construction project, M01105098, for a 37-unit, 114,274 square-foot residential (R-2) building. The project was submitted by Nortco Development and filed by Frank Ortiz with plans filed September 10, 2024 and permitted March 21, 2025.
The deal closed on March 28, 2025 and was recorded on April 4, 2025. The prior lender was Bank Hapoalim which held debt that had an original loan amount of $32 million.The four properties have 46,000 square feet of built space and 63,003 square feet of additional air rights for a total buildable of 109,000 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $2,913 and the price per buildable square foot is $1,229 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 Nortco Development was Lisa Radetsky and Rony Nortman. The signatory for Bank Hapoalim was Ilana Druyan and David Kesselman. Rony Nortman signed a Zoning Lot Description for the Nortco Development, but did not sign the loan.

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 574 Amsterdam Avenue.

Prior sales and revenue

The owner according to the Department of Housing Preservation and Development is Frank Ortiz, head officer. The business entity is Amsterdam Llc. The four properties with a total of 46,000 square feet of built space generated revenue of $2 million per year or $43 per square foot.

The property

The residential elevator building with 19 residential units in Upper West Side has 46,000 square feet of built space and 63,003 square feet of additional air rights for a total buildable of 109,000 square feet according to a PincusCo analysis of city data. The parcel has frontage of 28 feet and is 100 feet deep with a total lot size of 2,800 square feet. The zoning is C1-9 which allows for up to 2 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 $3.5 million. The most recent loan totaled $13 million and was provided by Bank Hapoalim on July 17, 2024.

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 received two DOB violations, one housing violation, and $5,030 in OATH penalties in the last year.

The block

On the tax block of 574 Amsterdam Avenue, PincusCo has identified the owners of 12 of the 21 commercial properties representing 383,991 square feet of the 666,638 square feet. The largest owner is Bldg Management, followed by Nortco Development and then Laurence Beame.
On the tax block, there was one new building construction project filed totaling 114,274 square feet. It is a 37-unit, 114,274 square-foot residential (R-2) building submitted by Nortco Development and filed by Frank Ortiz with plans filed September 10, 2024 and permitted March 21, 2025.

The majority, or 75 percent of the 666,638 square feet of built space are elevator buildings, with walkup buildings next occupying 17 percent of the space.

The borrower

The PincusCo database currently indicates that Nortco Development owned at least four commercial properties with 56 residential units in New York City with 46,000 square feet and a city-determined market value of $10.8 million. (Market value is typically about 50% of actual value.) The portfolio has $13 million in debt, borrowed from Bank Hapoalim. Within the portfolio, the bulk, or 68 percent of the 46,000 square feet of built space are walkup properties, with elevator properties next occupying 32 percent of the space. They are all located in Manhattan.

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