Broad Street JV Lands $175M for Manhattan Conversion
The property served as an office building for almost a century.
Broad Street Development, in partnership with PCCP and One Investment Management, has secured a $175 million loan for an office-to-residential adaptive reuse project in Manhattan. Using New York City’s 467-m tax incentive program, the joint venture is set to transform the 400,000-square-foot Maritime Building at 80 Broad St. into a 326-unit rental property, after also having recapitalized the asset.
Derby Lane Partners issued the note in a transaction arranged by Newmark. Rawling Architects is also part of the project, with Korban Studio handling interior design.
Broad Street Development has been the owner of the office building since 2014, when the company paid $173 million to acquire it from Savanna, according to Yardi Matrix. In 2017, Invesco Real Estate bought a 95 percent stake in the asset, for a total of $232.6 million, the same source shows. The two companies filed conversion plans earlier this year.
Newmark Co-Head of U.S. Capital Markets Adam Spies, together with Executive Vice Chairman Adam Doneger worked on behalf of the current joint venture. At the same time, Newmark Co-President Jordan Roeschlaub, Vice Chairman Nick Scribani, Director Holden Witkoff and Associate Niv Shahmoon secured the financing.
The Maritime Building and other FiDi conversions
Completed in 1935 to serve as the corporate headquarters of the Maritime Association of the Port of New York, the 36-story property previously underwent complete renovations in 2009 and cosmetic improvements in 2012.
One block north of the Maritime Building is 55 Broad St., a 30-story tower owned by Silverstein and MetroLoft Management and redesigned by CetraRuddy. The property served as an office building until it was repurposed into a luxury multifamily community, marking one of the largest residential conversions in New York City.
Farther north, in Tribeca, Broad Street Development acquired a 74-unit self storage facility for $43.5 million, planning to transform it into a condo community, New York YIMBY wrote in the summer of last year. The Sofia family—operators of Sofia Storage Centers—sold the 1915-completed 10-story asset.
Other recent large Manhattan conversions include RXR’s $500 million transformation of 61 Broadway, a 33-story office building slated to bring online 796 mixed-income apartments in the first half of 2028. The company is developing the project in partnership with One Investment Management.
Last month, GFP Real Estate received a $191.5 million construction loan from Derby Lane for the office-to-residential conversion of 40 Exchange Place, a 20-story tower south of Wall Street, set to deliver 382 units.
