Rudin signs $40M refi with State Farm for 241-unit rental facing Central Park

Rudin Management through the entity 241 Central Park West LLC as borrower signed a refi loan with lender State Farm Mutual Automobile Insurance Company valued at $40 million for the 140-unit residential elevator building (D3) at 241 Central Park West in Upper West Side, Manhattan.
The deal closed on July 13, 2022 and was recorded on August 3, 2022. The prior lender was Prudential Financial which held debt that had an original loan amount of $34 million. The property has 253,749 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $157 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 Rudin Management was Andrew Migdon. The signatory for State Farm Mutual Automobile Insurance Company was Mark J. Cavanaugh and Matthew D. Melick.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Eric Rudin, head officer and William Rudin, officer. The business entities are Rudin Management Co and 241 Central Park West Llc. The 253,749-square-foot property generated revenue of $10.5 million or $41 per square foot, according to the most recent income and expense figures.

The property

The 241 Central Park West parcel has frontage of 137 feet and is 137 feet deep with a total lot size of 17,550 square feet. The lot is irregular. The zoning is R10A which allows for up to 10 times floor area ratio (FAR) for residential with inclusionary housing. The property is in the Upper West Side / Central Park West Historic District. The city-designated market value for the property in 2022 is $39.6 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has not received any significant violations in the last year.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of 16 of the 45 commercial properties representing 374,565 square feet of the 559,192 square feet. The largest owner is Rudin Management, followed by Alan Tauber and then Philip Roitman.
There are no active new building construction projects on this tax block.

The majority, or 52 percent of the 548,884 square feet of built space are elevator buildings, with walkup buildings next occupying 48 percent of the space.

The borrower

The PincusCo database currently indicates that Rudin Management owned at least 21 commercial properties in New York City with 6,726,292 square feet and a city-determined market value of $2.1 billion. (Market value is typically about 50% of actual value.) The portfolio has $745.5 million in debt, with top three lenders as JPMorgan Chase, Bank of America, and PGIM Real Estate respectively. Within the portfolio, the bulk, or 60 percent of the 6,726,292 square feet of built space are office properties, with elevator properties next occupying 40 percent of the space. They are all located in Manhattan.

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