Joy Construction JV Obtains $97M for Manhattan Property
Värde Partners provided the debt.
A joint venture of Joy Construction, MADDD Equities, as well as a private individual, has secured a $96.5 million refinancing loan for The Lewis, a 186-unit luxury property in Manhattan, N.Y. Värde Partners issued the note in a deal arranged by Newmark.
Previous debt consisted of a $97 million loan issued by Natixis in 2022, Yardi Matrix data shows. Before that, KKR’s $86 million note refinanced the $66 million construction loan issued by Wells Fargo.
Additionally, The Lewis benefits from New York’s 421-A tax abatement program and in exchange, roughly one-third of the units are income-restricted. The tax exemption is due to expire in June 2029.
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The property rises 12 stories at 411 W. 35th St. in the Hudson Yards District. Midtown Manhattan, Bryant Park and the Lincoln Tunnel are within walking distance, while Central Park is more than 1 mile away.
Completed in 2018, The Lewis encompasses studio, one- and two-bedroom units with select apartments featuring private terraces. Common-area amenities comprise a gym, resident lounges, as well as 24/7 concierge services. What’s more, the property includes 27,245 square feet of commercial space.
Newmark Co-President Jordan Roeschlaub and Vice Chairman Nick Scribani, together with Executive Vice Chairman Adam Doneger and Senior Managing Director Ricky Braha, as well as Senior Associate Sam Speciale, arranged the financing.
Manhattan debt keeps flowing
Despite the uncertainty that has permeated throughout much of the year, multifamily originations increased 39 percent during the first quarter compared to the same period last year, according to a report by Mortgage Bankers Association.
Originations across the entire commercial real estate spectrum totaled $498 billion throughout 2024, marking a 16 percent increase year-over-year, a different MBA report shows. Multifamily properties received the bulk of that debt—roughly $326 billion.
Multifamily debt kept on pouring well into the second quarter as well, especially in Manhattan. Last month, Cammeby’s International landed a $173.1 million refinancing loan for The Monterey, a 522-unit property. NewPoint Real Estate Capital originated the Freddie Mac note.
Also in June, Gotham Organization secured a $460 million debt package to refinance the 1,238-unit Gotham West. Wells Fargo provided the debt in a deal structured as a direct bond purchase.
