Rockwood loses 399-room FiDi hotel valued at $74M to lender CIT

Rockwood Capital and joint venture partner the Buccini/Pollin Group, turned over the ground lease for the 399-key Financial District (H2) hotel at 8 Stone Street valued at $74.3 million to lender CIT Bank, according to city property records recorded today. The deal closed on May 26, 2021 and was recorded on June 8, 2021.

The entity for CIT Bank was CRE Holdings Sub 1 LLC and for Rockwood it was Al-Stone Ground Tenant LLC. In this transfer, Lender CIT Bank took control of the ground lease of the DoubleTree by Hilton New York Downtown from Rockwood Capital and Buccini, which acquired it in an $86.15 million purchase from Magna Hospitality Group in February 2019. The partners took out a $62.25 million loan at the time from CIT Bank. The signatory for Rockwood was Walter Schmidt.

Rockwood sued its JV partners Buccini/Pollin in April 2021, alleging Rockwood had paid $1.36 million more than its contractual share to maintain a loan totaling $62.5 million secured for purchase and renovate the hotel.

The parcel’s fee is owned by the Los Angeles-based commercial property firm BH Properties, which acquired it from Lexington Realty Trust in 2016 for $100 million as part of a $300-plus million deal for the land under three New York City hotels, The Real Deal reported at the time.

The property has 143,731 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $516 per the PincusCo analysis.

(104625005)The DOB issued a new construction (NB) initial temporary certificate of occupancy for the building with 399 residential units on October 4, 2012.

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