Dealmaker: JLL Secures $165M in Manhattan

JLL’s New York office secured $90 million in acquisition and repositioning financing for 670 Broadway, an office and retail building in Manhattan’s Midtown South submarket.

Paramount Group Real Estate Fund VII, New York, purchased the building in an off-market deal. Bank of America provided the loan.

JLL Managing Directors Dustin Stolly and Aaron Appel and Vice President Aaron Niedermayer led the debt-placement team. “Midtown South is one of the top-performing office submarkets in the country,” Stolly said. “Combine this with the high volume of foot traffic along the property’s Broadway and Bond frontage and it made for an extraordinarily compelling opportunity among lenders. We received more than a dozen proposals.”

Appel said the number of technology and media jobs continues to grow in Midtown South, “and the planned repositioning of 670 Broadway as a creative space will meet growing tenant demand.”

The Class A building located near New York University totals 77,500 square feet.

In downtown Manhattan’s Financial District, Stolly and JLL Senior Vice President Jonathan Schwartz secured $75 million in land acquisition financing for 45 Broad Street on behalf of Madison Equities LLC, New York, and The Pizzarotti Group, Parma, Italy. Private equity firm Mack Real Estate Credit Strategies, launched last year by William and Richard Mack and former Blackstone Group Managing Director Peter Sotoloff, led the senior mortgage.

Stolly said a proposed luxury condominium tower on the site will rise 65 stories. “The location of 45 Broad Street and the resurgence of lower Manhattan represents an extremely rare development opportunity,” he said.