Pinnacle Group signs $65M refi with Starwood for 172-unit rental on Upper West Side

Joel Wiener’s Pinnacle Group through the entity Hudson Park NY LLC as borrower signed a refi loan with lender Starwood Mortgage Capital through the entity Starwood Mortgage Capital LLC valued at $65 million for the 172-unit residential elevator building (D7) at 323 West 96th Street in Upper West Side, Manhattan.
The deal closed on November 6, 2023 and was recorded on December 4, 2023. The prior lender was Tel Aviv Stock Exchange bondholders which held debt that had an original loan amount of $66.1 million.
The property has 133,697 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $486 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 owner bought the property on January 20, 2016, for $27 million. The signatory for Pinnacle Group was Joel Wiener. The signatory for Starwood Mortgage Capital was Grace Chiang.

Prior sales and revenue

The owner according to the Department of Housing Preservation and Development is Arturo Muniz, head officer. The business entity is Hudson Park Ny Llc.

The property

The residential elevator building with 172 residential units in Upper West Side has 133,697 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 175 feet and is 100 feet deep with a total lot size of 16,866 square feet. The lot is irregular. The zoning is R8 which allows for up to 6.02 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $39.3 million.

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 16 DOB violations and $630 in OATH penalties in the last year.

Development

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 six of the 11 commercial properties representing 372,722 square feet of the 434,899 square feet. The largest owner is Weinreb Management, followed by Scharfman Organization and then Pinnacle Group.
There are no active new building construction projects on this tax block.

The majority, or 78 percent of the 434,899 square feet of built space are elevator buildings, with walkup buildings next occupying 10 percent of the space.

The borrower

The PincusCo database currently indicates that Pinnacle Group owned at least 137 commercial properties with 8,408 residential units in New York City with 7,645,406 square feet and a city-determined market value of $607.7 million. (Market value is typically about 50% of actual value.) The portfolio has $921.8 million in debt, with top three lenders as New York Community Bank, Tel Aviv Stock Exchange bondholders, and Axos Bank respectively. Within the portfolio, the bulk, or 76 percent of the 7,645,406 square feet of built space are elevator properties, with walkup properties next occupying 23 percent of the space. The bulk, or 37 percent of the built space, is in Brooklyn, with Manhattan next at 23 percent of the space.

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