Stonehenge signs $85.6M loan with TD Bank for 163-unit rental in Chelsea

Stonehenge NYC through the entity 555 Sixth LLC as borrower signed a loan with lender TD Bank valued at $85.6 million for the 163-unit residential elevator building (D9) at 555 Avenue of the Americas in Chelsea, Manhattan.
The deal closed on July 13, 2022 and was recorded on July 22, 2022. The property has 195,442 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $437 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 prior debt was $92 million.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Richard Cohen, head officer and Adam Grushko, officer. The business entity is Sp 101 W 15 Llc. The 195,442-square-foot property generated revenue of $10.9 million or $56 per square foot, according to the most recent income and expense figures.

The property

The 555 Avenue Of The Americas parcel has frontage of 206 feet and is 150 feet deep with a total lot size of 30,975 square feet. The zoning is C6-2A which allows for up to 6 times floor area ratio (FAR) for commercial and up to 6.02 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $49.6 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 received $850 in OATH penalties in the last year.

Development

For the tax lot building, it received its rehab initial certificate of occupancy on June 28, 2013.

The block

On this tax block, PincusCo has identified the owners of two of the 16 commercial properties representing 257,842 square feet of the 454,045 square feet. The two identified owners are Stonehenge NYC and Danielle Gardner.
There are no active new building construction projects on this tax block.

the majority, or 78 percent of the 374,577 square feet of built space are elevator buildings, with walkup buildings next occupying 14 percent of the space.

Surrounding

Within a 400-foot radius of 555 Avenue Of The Amer, Pincusco identified three commercial real estate items of interests occurred over the past 24 months.
One of those three items was a sale which Chelsea Real Estate Trust bought two condo units in the N/A-square-foot, one-unit condo building (R4) on 124 West 16th Street for $11.4 million from Grid Group on February 9, 2021.
Of those three items, two were loans above $5 million totaling $49.5 million. The most recent of the two was Nathaniel Rahav which borrowed $27 million from Signature Bank secured by the 10,750-square-foot, 51-unit rental (C5) on 131 West 15th Street and 11 other properties on June 27, 2022.

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