JV Secures $251M for NYC Condo Project
- Jun 19, 2018
CBSK Ironstate has obtained $251 million in equity and debt for the acquisition and development of 646 11th Ave. in Manhattan. The developer plans an upscale condominium for the site in the Hell’s Kitchen neighborhood, which is currently occupied by a car dealership that will relocate.
646 11th Avenue is on the east side of the street and spans the entire block front between 47th and 48th Streets. When complete, the development will have 222 units, along with about 40,000 square feet of pre-sold retail space, 8,000 square feet of residential amenities and 60 for-sale storage units.
CBSK Ironstate is a joint venture formed by CB Developers, SK Development and Ironstate Development. The partners have developed numerous projects together in New York, including 10 Bond Street, 301 East 50th Street, Chelsea 29 (221 West 29th Street), The Frontier (200 East 39th Street), The Lindley (591 Third Avenue), POD Brooklyn and The Jefferson (211 East 13th Street).
A Growth Corridor
“Hell’s Kitchen has recently experienced rapid development,” JLL Vice Chairman Aaron Appel. “The future of the area is being re-shaped with around 17 million square feet in retail, commercial and residential space under way. This transaction offered the lenders an opportunity to finance one of New York’s most experienced residential developers.”
JLL raised $70 million in equity for the project from an institutional investor and secured $181 million in construction financing from Deutsche Bank. Appel, along with managing directors Keith Kurland and Jonathan Schwartz, executive vice president Mark Fisher and associate Douglas Baillie, executed the deal on behalf of JLL.