Times Square Real Estate Developments Land $1B in Loans

520 Fifth Avenue, 1450 Broadway and 1 Times Square (Kohn Pedersen Fox, 1450 Broadway, Bernt Rostad from Oslo Norwayedited by Yarl CC BY 2.0 via Wikimedia Commons)

ART: 1450 Broadway, 520 Fifth Avenue, 1 Times Square

The 10 largest Manhattan real estate loans recorded in April totaled about $1.7 billion, a good $500 million over March’s total and nearly double last April’s amount.

Times Square was the center of some of last month’s biggest deals, including a refinance of the former Bertelsmann’s building and an extension of the One Times Square, where the New Year’s Eve ball drops.

Below are more details on the borough’s largest real estate loans in April:

1. Timely refresh in Times Square | $445 million

Edge Fund Advisors and HSBC, owners of 1540 Broadway, the 44-story former Bertelsmann Building in Times Square, received $445 million to refinance the senior loan for the office portion of the building. The lenders were Apollo Global Management, Michael Dell’s MSD Partners and Monarch Alternative Capital. The loan included $96 million of new debt, for a total refinancing package of $590 million.

Developed by Bruce Eichner in the late 1980s for the German media conglomerate Bertelsmann, the project fell into bankruptcy in the early 1990s but its owners recently spent $40 million on amenities and energy-efficiency upgrades. Vornado Realty Trust owns the retail portion of the building.

2. Mixed-use muscle | $410 million

Bank OZK provided $410 million, including $300 million in construction loans, to Rabina for its 70-story tower underway at 520 Fifth Avenue in Midtown. Carlyle’s Global Credit business contributed $130 million at the mezzanine level, for a total amount of $540 million. The debt from Bank OZK replaces an acquisition loan used by Rabina to buy the land for $205 million in 2019. The tower will be Fifth Avenue’s second-tallest after the Empire State Building and will include 98 residences across 16 floors, plus offices and retail.

3. Party hats on | $290 million

JPMorgan Chase loaned $290 million, including $128 million in construction funds, at One Times Square, where the New Year’s Eve ball drops. Developer Jamestown will reportedly spend $500 million renovating the long-empty building thanks to a total debt package of $425 million. The top of the building is set to receive a new viewing deck and 12 floors of the 118-year-old building will be opened to the public.

4. Healing the Hayworth | $160 million

JPMorgan Chase loaned Zeckendorf Development $159.7 million, including $23 million in new project loan debt, for its purchase of the Hayworth, a 61-unit condo project at 1289 Lexington Avenue on the Upper East Side. Zeckendorf bought the building from the U.K.-based lender Children’s Investment Fund, which took control of the property from Ceruzzi Development through a foreclosure auction in January.

5. Meatpacking loan | $123 million

German bank Deutsche Pfandbriefbank loaned $123.4 million to Aurora Capital Associates at 809 Washington Street, an office building in the meatpacking district, including $63 million in new debt that will cover a renovation and expansion of the property. The loan replaces debt…