Duo Obtains $195M for Madison Avenue Project, Acquires Air Rights
Located on Manhattan's Upper East Side, the development will include upscale condo units and retail space.
Legion Investment Group has finalized a $195.1 million construction loan for 1122 Madison Ave., a high-rise condo project in Manhattan. Legion is developing the building in partnership with Nahla Capital.
Deutsche Bank and JVP Management are providing the loan, which was arranged by Adi Chugh of Surya Capital Partners. The development will rise 210 feet over the Upper East Side and offer 22 upscale units and first-floor retail space. The building will have views of Central Park. The acquisition included 20,000 square feet of air rights from a neighboring building, 20 East 84th St., to maintain the property’s views.
Besides 1122 Madison Ave., 2024 has been a busy year for the New York-based Legion. The developer acquired an office building at 5 West 13th St. for $57.5 million, as well as the final piece of its Madison Avenue assemblage at East 84th Street. Legion also closed on the land-air rights to four parcels on Gramercy Park and acquired a vacant lot at 550 West 21st St. in Chelsea.
All together, Legion has developed over 6 million square feet of upmarket condominiums and residential projects. Nahla Capital, a private equity firm also based in New York, has invested in development projects nationwide, including ones in Austin, Los Angeles and San Francisco.
Signs of improvement for Manhattan for-sale residential
There is significant demand for new-construction residential projects near Central Park, especially on Park Avenue, according to Legion founder and CEO Victor Sigoura.
Employment remains something of a worry for the Manhattan market. Unemployment for the borough stood at 5.1 percent in February, down 20 basis points year-over-year, but considerably above the 3.9 percent U.S. rate, according to data from the Bureau of Labor Statistics.
