M&T Lends Atlas Capital $35M for Chelsea Multifamily Buy

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M&T Bank provided a $35 million loan to New York-based Atlas Capital Group to help finance the real estate firm’s acquisition of two multifamily buildings in Chelsea, Commercial Observer has learned.

M&T provided a five-year term on the deal, which carries a roughly 50 percent loan-to-value ratio, a person familiar with the transaction said on the condition of anonymity.

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Atlas Capital purchased the two properties, located at 225 West 23rd Street and 220 West 24th Street, from Harrison, N.Y., -based Rao & Rao LLC for $72.9 million in August, city records show. Rao & Rao is an affiliate of the estate of Bernard Kayden, according to PropertyShark.

The two back-to-back buildings, which sit between Seventh and Eighth Avenues, were constructed around 1930 and contain 245 apartments totaling a combined 123,697 square feet.

Atlas Capital, in partnership with Square Mile Capital Management, owns The Factory at 30-30 47th Avenue in Long Island City, where Macy’s recently signed a 150,000-square-foot lease to relocate its photo studio from Brooklyn. The firm also owns a number of properties throughout New York, Los Angeles and Miami.

An M&T Bank representative declined to comment. Representatives for Atlas Capital did not return requests for comment by press time.