Vorea Group, Domain, L+M sign $220M construction loan with Wells Fargo for 499-unit development in Long Island City

Vorea Group, The Domain Companies, and L+M Development Partners through the entity 50th And 5th Lic LLC as borrower signed a new construction loan with lender Wells Fargo valued at $220 million for the 499-unit development at 2-33 50th Avenue in Long Island City, Queens.
The deal closed on December 21, 2021 and was recorded on January 7, 2022. The prior lender was Morgan Stanley which held debt that had an original loan amount of $16 million.
The property has 95,750 square feet of built space and 361,760 square feet of additional air rights for a total buildable of 457,520 square feet according to PincusCo analysis of city data. The loan price per built square foot is $2,297 and the price per buildable square foot is $480 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 September 20, 2021, for $88.5 million.
The signatory for Vorea Group, The Domain Companies, and L+M Development Partners was Matthew Schwartz.
The 95,750-square-foot property generated revenue of $1.7 million or $17 per square foot, according to the most recent income and expense figures.

(Q00564746) Plans for a 499-unit, 562,607 square-foot R-2 were filed on August 19, 2021.
The developers bought the property in September with plans for a 12-story, 499-unit building.
In Long Island City, the bulk, or 37 percent of the 75.5 million square feet of built space are residential elevator buildings, with industrial buildings next occupying 27 percent of the space. In sales, Long Island City has 4.2 times the average sales volume in the city with $1.1 billion in sales volume in the last two years and is the highest in Queens. For development, Long Island City is the 2nd most active neighborhood in the city. It had 9.2 million square feet of commercial construction under development in the last two years, which represents 12 percent of the neighborhood’s built space.
On the tax block, the majority, or 83 percent of the 564,899 square feet of built space are residential elevator buildings, with industrial buildings next occupying 17 percent of the space.
Within a 400-foot radius of 2-33 50th Avenue, PincusCo identified five commercial real estate items of interests occurred over the past 24 months.
Of those five items, two were in new building development. There were two new building permit applications. The most recent of these two items was a filing on March 3, 2021 for a 14,993-square-foot R-2 building with six residential units at 50-07 5th Street.
Of those five items, one was for major renovation including a certificate of occupancy change. It was a permit application filed on November 30, 2021 for the $1.2 million renovation of 19,872-square-foot G building with no residential units at 5-36 50th Avenue.
Of those five items, two were loans above $5 million totaling $24.4 million. The most recent of the two was Cheskel Schwimmer which borrowed $16 million from IceCap Group secured by 29 condo units in the 1,120-square-foot, 84-unit condo (R4) on 2-45 51st Avenue on November 30, 2021.

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