NEW YORK CITY-Underscoring the loosening up of the credit markets—and lenders in general—as the economy recovers, Time Equities has secured construction financing for 50 West St., a new 63-story, mixed-use retail and residential condominium tower.
The company has raised a total of $398 million for the project. Elliott Management, a global investment fund led by Paul Singer, with more than $21 billion under management and headquartered in New York City, has joint ventured with Time Equities and will be investing $110 million. Cushman & Wakefield's Steve Kohn, president, Chris Moyer, director and Dave Karson, executive managing director—all in the equity, debt and structured finance group—arranged the partnership.
In addition, PNC Bank led a $288 million construction loan syndication effort. The lending group includes Wells Fargo, M&T Bank, Union Bank, MidFirst Bank and Emigrant Bank. Time Equities arranged the construction financing directly with PNC Bank. The bank was advised on the deal by the law firm of Morrison & Foerster's Mark Edelstein, chair of the real estate practice, along with real estate partner Chris Delson.
Construction is slated to begin this fall, with completion planned for 2016. Time Equities has owned the site since 1983 and had planned to start construction on the project in 2008. Instead, the project was placed on hold at that time because of the financial crisis. Five years later—and after substantial interior redesign efforts, which included eliminating the planned hotel component—the developer is set to move forward with project.
The project will be mostly condos, according to the Wall Street Journal, with a restaurant planned for the first and second floors, ground-level retail, office space and amenities such as a gym and play area. A city walkway crossing West Street will weave into the building's courtyard.
"This is clearly a defining, legacy project for us," says Francis Greenburger, chairman of Time Equities. “Lower Manhattan has outperformed expectations and will continue to do so. Given all that is happening in Lower Manhattan right now, we see demand for high quality condos in the neighborhood continuing to grow in the years ahead.”
50 West St. is located between West and Washington Streets, just south of Rector street. The site will feature a public pedestrian walkway that will connect West and Washington streets. This public walkway is also being designed to integrate with the city's planned West Thames pedestrian bridge, which will provide easy access over West Street to and from Battery Park City.
Says Robert Singer, project director for Time Equities, “The neighborhood is developing rapidly and our site provides incredible access to Battery Park City, Wall Street, waterfront parks, high-quality public schools, and subways.”
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Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
