State Farm Lends on Rudin Management’s 1 Battery Park Plaza
Damian Ghigliotty April 8, 2014, 3:34 p.m.
Like a good neighbor, State Farm is there—especially for high-profile borrowers in Manhattan.
State Farm Realty Mortgage originated a $35 million second tranche as part of a total $110 million loan on the Rudin Family’s office tower at 1 Battery Park Plaza, public records show. The recent financing closed on April 1, following a $75 million first mortgage from State Farm on the 36-story property, which closed in April 2013.
The Rudin and Rose families began assembling the site in 1962 and jointly built the 885,645-square-foot tower in 1970. Rudin Management bought out Rose Associates’ 50 percent stake in 1 Battery Park Plaza for about $80 million in January 2012, gaining full ownership of the downtown property.
“This transaction reaffirms the Rudin family’s commitment to downtown and our belief that Lower Manhattan’s recovery continues,” William Rudin, Rudin Management’s vice chairman and chief executive officer, said in a statement at the time.
In October 2013, the New York-based law firm Hughes, Hubbard & Reed signed a 226,416-square-foot lease renewal for its nearly 11 floors at the office tower. The building also houses the headquarters of commercial mortgage brokerage firm Meridian Capital Group. Meridian was not involved in the State Farm deal.
Rudin Management confirmed the total loan amount from State Farm, but would not comment further. State Farm declined to comment.
In another transaction last month, the real estate lending arm of the Illinois-based insurance and financial services company group provided a $30 million leasehold mortgage on the Zucker Organization’s Murray Hill Manor at 166 East 34th Street, as Mortgage Observer previously reported.