Cedarhurst, NY: Paradigm Commercial Real Estate LLC is pleased to announce the closing of a $125,000,000 credit facility used to purchase the iconic Greystone Hotel Building located at 212 West 91st Street, at Broadway, in NYC.
The Greystone is a 15 Story, fully amentized luxury apartment building, containing 362 residential units, almost all of which were fully gut renovated as part of a $30,000,000 renovation plan implemented by the sellers; Brack Capital.
According to Michael Edery, principal of Paradigm (pictured), the 5 year interest only loan was structured as a 2 tranche transaction, with the first tranche in the amount of $113,650,000 used to finance the purchase, and priced at LIBOR plus 360 BPS, and the second, $12,000,000 tranche, priced at LIBOR plus 380 BPS.
Once fully funded, the loan will represent close to 90% of the total cost of the asset.
‘The property was delivered with close to 30 vacant units, which allowed for tremendous upside, once occupied’ says Edery. The junior tranche of $12,000,000 will advanced upon occupancy of the vacant units, which is anticipated to be in about 60-90 days from closing.
The asset, purchased by Acuity Capital though its principal Elliot Neumann, proved accretive to Acuity’s portfolio of high-end NYC residential buildings.
‘Neumann’s eye, and understanding of commercial real estate is exemplary, and makes it a real pleasure to deal with him’, says Edery.
The loan closed in approximately 40 days from execution of the application.