NEW YORK CITY—GFI Realty Services has arranged a nearly $151 million floating-rate loan on behalf of 330 W. 42nd St., a 33-floor office building in Midtown West. Also known as the McGraw-Hill building and situated between eighth and ninth avenues, the 590,000 square foot tower was constructed in 1931 and served as the publishing firm's headquarters for several decades. It housed corporate offices as well as warehouse, retail, manufacturing and other facilities.
The building has an occupancy rate of approximately 90% and is receiving various upgrades, including new windows and façade work. GFI director of investment sales and finance Daniel Lerer and senior director of finance Will Watkins procured the loan from Natixis.
“Because the building was designed to support massive printing presses, 330 W. 42nd has the structural make-up that would allow for conversion to the loft-style, open-floor office layouts that are in increasing demand,” asserts Lerer. “We were able to successfully highlight the building's history, stability and potential. Ultimately, we secured an attractive deal for the sponsor with a competitive floating-rate loan.”
The building will benefit from the revitalization of the west side of Midtown, including the extension of the 7 train and the mega-development underway at Hudson Yards. Abutting the Port Authority Bus Terminal, the building is ideally located for commuters and is proximate to more than a dozen MTA bus and subway lines.
“This transaction is a testament to GFI Realty's ability to provide clients with thorough advisory services for the most significant and complex transactions,” adds Michael Weiser, president of GFI Realty. “With the resurgence of the West Side, 330 West 42nd Street is sure to retain its position as a true New York City landmark.”
The building was designed by Raymond Hood, the celebrated New York City architect who also designed Rockefeller Center. The tallest building in western Manhattan for close to 50 years, 330 W. 42nd St. was declared a National Historic Landmark in 1989.
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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.
