Dealmaker: C&W Secures $315M in New York

Cushman & Wakefield, New York, arranged $185 million for 10 Times Square, also known as 1441 Broadway, in New York. A Metropolitan Life Insurance Co. affiliate provided the fixed-rate financing.

C&W secured the refinancing for L.H. Charney Assocs., New York. The 36-story office/showroom and retail building occupies the southwest corner of West 41st Street and Broadway in Midtown Manhattan’s Times Square South submarket. At the center of the city’s three major transportation hubs, the property contains more than 540,000 square feet of rentable area, including 31 floors of fully-leased office/showroom space and 55,000 square feet of new Times Square retail space on the ground floor, concourse and second/mezzanine levels. 

The newly designed retail space and lobby with frontage along Broadway, West 41st Street and Seventh Avenue will deliver in 2017. 

“This property offers attractive, stable cash flow from the in-place office tenants and significant upside potential from the flagship-style Times Square retail space being repositioned,” said C&W President of Equity, Debt & Structured Finance Steve Kohn. The debt placement team also included C&W Senior Managing Director Alex Hernandez, Managing Director Chris Moyer and Associate Alex Lapidus.

“This low-leverage refinancing for a well-capitalized owner with a clearly identified value enhancement strategy attracted significant demand from the core lending community,” Hernandez said. 

In June, the same team arranged a $130 million refinancing from MetLife for 1410 Broadway, a 380,000-square-foot office building, also on behalf of L.H. Charney Assocs. The 36-story office and showroom building is more than 95 percent leased to more than 100 fashion-oriented office and retail tenants.

“With several of the area’s buildings restacking their tenancy to accommodate large users, buildings like this are seeing robust competition for space from tenants being dislocated by repositionings,” Hernandez said. “The capital markets proved responsive to this subtle dynamic in the local market.”