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NEW YORK CITY-Allstate Real Estate Investment Group, through its commercial mortgage division, has provided a 4.9-year, $23.5-million acquisition loan to the joint venture between Hidrock Realty Inc. and Assurant Inc. for the purchase of 53 W. 36th St. Ed Finnegan, from Holliday Fenoglio Fowler, arranged the financing on Allstate's behalf.
Built in 1911 and located within New York City's historic Garment District, the 12-story, multi-tenant class B/C office building has 72,000 sf with floor plates averaging approximately 6,000 sf. Because of the property's transitional nature, according to the company, Allstate required a $1.5-million tenant improvement and leasing commission costs reserve, a $995,000 capital improvement reserve and a $740,000 debt service reserve.
"Given that current rents for the building are marked well below market and the majority of the tenants will roll out within the next three years, this loan provides the borrower with a considerable opportunity for rental growth," says Dave Henderson, senior portfolio manager of Allstate Real Estate Investment Group. "With a multi-faceted financing structure, we are able to help Hidrock and Assurant bring the property up to market while providing the customized service our customers have come to expect from Allstate."
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
