A 70-story residential building under construction in Manhattan's Garment District that aims to redefine the New York skyline has landed construction financing.
Real estate investment firm Affinius Capital said it originated a $215 million loan alongside a senior loan from Kennedy Wilson to finance the ground-up development at 100 W. 37th St. The loan was made to a joint venture between New York developers and owners Sioni Group and AB & Sons, alongside a junior mezzanine loan from Intervest Capital Partners, Affinius said.
A Sioni spokesperson told CoStar News the total financing amount is $275 million.
The Class A, 311-unit building currently under construction will include 284 for-rent multifamily units with 30% designated as affordable housing as well as 27 for-sale condominium units, Affinius said, adding amenities at the property will include an indoor pool, a fitness center, and a spa with saunas. A majority of the condos will feature one to two balconies with views of Bryant Park and the New York skyline.
Affinius Senior Vice President Perry Katz described the project as “skyline defining.”
The site used to house an 86,302-square-foot office building, which has been demolished, according to CoStar data.
The financing comes as New York, one of nation's most expensive cities to live in, has said it plans to build about 10,000 new housing units, more than double its previous estimate, in an area spanning about 42 blocks just south of Times Square in Manhattan.
The move to reshape Midtown South arrives as New York seeks to recover from the fallout of the pandemic that led to what CoStar data shows as a near-record-high office vacancy rate of about 13.5%.
For the record
Henry Bodek of Galaxy Capital arranged the financing.
This story was updated April 9 with new information on the project from a Sioni Group spokesperson.