JV Buys Fort Greene Office for $195M

A joint venture between RXR Realty and American Landmark Properties announced earlier this month that it had acquired the long-term lease of a large office building at 470 Vanderbilt Avenue, near Barclays Center in Brooklyn. Starwood Capital Group and GFI Development Company closed on the sale of its 75-year ground lease at 470 Vanderbilt for $195 million, according to a CoStar report. The Eastdil Secured investment sales team of Doug Harmon and Adam Spies represented GFI and its partner Starwood Capital Group in the sale.

This week, Meridian Capital Group of New York announced that it had arranged a $142 million mortgage for the purchase of the property. The Eastdil Secured investment sales team of Doug Harmon and Adam Spies represented GFI and its partner Starwood Capital Group in the sale. According to a report in CrainsNewYork.com, this is one of the largest acquisitions in the outer boroughs in recent times and yet another testament to Brooklyn's growing popularity.

"The 470 Vanderbilt Avenue acquisition represents an opportunity for us to buy a building with healthy current returns generated by credit tenants, while also participating in the amazing transformation that is taking place across Brooklyn," RXR chairman/CEO Scott Rechler said in a statement. The deal is RXR's first New York City acquisition as part of its New York Metro Emerging Sub-Market initiative, which focuses on undervalued neighborhoods that are well-positioned geographically and demographically with strong infrastructure in New York City's outer boroughs and suburban downtown districts located around transit hubs.

The 10-story, approximately 650,000-square-foot property was 88% leased at the time of sale with tenants including the City of New York and The League Education & Treatment Center, a 50-year old, internationally-recognized, not-for-profit organization serving children and adults with developmental disabilities. The building is also occupied by media and technology tenants, Aereo and Switchnet, and a state-of the-art, self-sustaining data hub for technology and telecommunications companies.

For more news and information visit Blumberg Capital Partners.

Five Columbus Circle Gets $55M Refinance Loan

1790 Broadway Associates, the owners of Five Columbus Circle in New York, NY, has secured a $55 million refinancing loan on the office and retail property. Meridian Capital Group negotiated the senior loan, provided by a national balance sheet lender and featuring a 10-year term with full-term interest-only payments and an interest rate of 3.45%. 1790 Broadway Associates, LLC, an entity controlled by the Ionian Group, run by Sofia Milonas and Claire Milonas, and The Red Apple Group, run by John Catsimatidis.

"There was tremendous liquidity in the market for this transaction given its location and stable operating history," said Meridian Managing Director, Aaron Appel. "The lender won the deal by offering a competitive interest rate and at the same time providing structural flexibility rarely seen in long term fixed rate debt products."

Five Columbus Circle is located at 1790 Broadway and features 8,700 square-feet of street level retail. The property is 96.5% leased, with major tenants including Columbia Artists Management, Columbia University, Fordham University and HSBC in the retail portion.

For more news and information visit Blumberg Capital Partners.