Manhattan Mixed-Use Snags Pre-Development Financing
A joint venture obtained $200 million for 520 Fifth Ave., which will include 145 condos, 208 hotel rooms and 33,000 square feet of retail space.
By Dees Stribling
Ceruzzi Holdings LLC and Shanghai Municipal Investment USA have obtained pre-development financing totaling about $200 million for their 520 Fifth Avenue project in Manhattan. The property will be mixed-use, with groundbreaking of the vertical space—some time in coming, since the partnership bought the site for $275 million in 2015—now slated to begin in 2018.
Located at the southwest corner of 43rd Street and Fifth Avenue, the development will include 145 condos atop the property, plus a mid-level 208-room hotel, and 33,000 square feet of retail on the first three floors along the famed Fifth Avenue shopping thoroughfare. The 10,625-square-foot site has 85 feet of frontage along Fifth Ave.
The building will be 71 stories altogether, with a knife-edged design by Handel Architects. Upon completion, it will be one of the tallest buildings in the area, and would offer residents views of various city landmarks.
HFF worked on behalf of the owner to secure the floating-rate loan through Mack Real Estate Credit Strategies LP. HFF previously brokered the sale of the property to the partnership and secured acquisition financing on its behalf.
The proceeds of this loan will be used to repay existing debt, conclude design and move forward with pre-development work. HFF’s debt placement team was led by Managing Director Christopher Peck and Senior Managing Director David Nackoul.