Saturday, July 30, 2011

Developer lands $700M construction loan for NYC's Tallest Residential Tower

Bank of America agrees to lend $700 million for construction of 1,005-foot-tall building across from Carnegie Hall. The 75-story project will include a hotel and 136 apartments.

This afternoon, Extell Development Co. reached a deal to secure a $700 million construction loan from Bank of America Corp. for a new skyscraper on West 57th Street, said sources close to the transaction.

Extell broke ground late last year without a loan for what will be the tallest residential building in the city. The foundation for the 1,005-foot tower, which will stand opposite Carnegie Hall and be called Carnegie 57, is complete. The property will include a Park Hyatt Hotel and about 136 high-end, ultra-luxury apartments. The city's tallest residential property is currently the New York by Gehry which is downtown at 8 Spruce Street. It is 870 feet tall.

Extell President Gary Barnett said he believed New York's economy was picking up, so the time was right to start building again. Barnett knew he could eventually secure a loan for the West 57th Street project because of its exceptional location, world-class amenities, and a design by noted French architect Christian de Portzamparc. 
Mr. Barnett said his project would be completed in 2013, in time for what he expects will be a booming market. The sizeable loan reflects what has been an improving market for real estate projects in New York as well as Mr. Barnett's development prowess. He is one of the city's most prolific developers.  
Extell Development recently won approval to build a 3.1-million-square-foot mixed-use project known as Riverside Center  (see ElectricWeb | Blogger - July 27, 2011) on the Upper West Side. The project includes 2,500 apartments, retail space and a school in five high-rise towers.

By Peter Coyne /
July 29, 2011