CIT Closes $105M in Retail, Office and Industrial Deals
CIT Real Estate Finance, New York, arranged $65 million for a joint venture between Madison Capital and Vornado Realty Trust to build a Manhattan retail and office building.
The joint venture, MC 19 East Houston LLC, will use the proceeds to construct a 34,000-square-foot six-story retail and office building on the southeast corner of Broadway and Houston Street in New York’s SoHo neighborhood. The property will include 11,500 square feet of retail on the ground floor, second floor and lower level and office space on the third through sixth floors.
“The property is located on the last developable site at a prime intersection at the gateway to SoHo, one of New York’s premier retail corridors and mixed-use districts,” said Madison Capital Managing Partner Richard Wagman.
CIT Real Estate Finance President Matt Galligan called SoHo a prime destination for high-end retailers and international brands seeking to establish flagship locations in New York. “At the same time, the overall New York City office market remains strong, with growing industries such as technology and media leasing large blocks of space and fueling continued development,” he said.
CIT also provided a $40.2 million senior secured credit facility to BKM Capital Partners, Irvine, Calif., for Tempe Commerce Park, a 536,000-square-foot office and industrial warehouse distribution property in Tempe, Ariz.
BKM Capital Partners CEO & Co-Founder Brian Malliet the property in Tempe’s “Silicon Desert” submarket gives BKM the opportunity to market larger back office and industrial warehouse distribution space in an infill location. “For clients, this can represent a more economical alternative than a build-to-suit solution,” he said.
Galligan said the property along the I-10 corridor provides access to the Southeast Valley, Scottsdale and downtown Phoenix. “This location, as well as the strong economic performance of the Tempe region, should provide firm support for the long-term performance of this property,” he said.
