Sugar Hill Capital Funds UWS Portfolio Buy With $47M From Annaly


Annaly Capital Management has provided $46.5 million in financing to Sugar Hill Capital Partners to fund its purchase of a 125-unit multifamily portfolio in New York City, the borrower confirmed to Commercial Observer.

The New York-based real estate firm scooped up the five contiguous properties—which are located at 471-476 Central Park West between West 107th and West 108th Streets—for $65 million in an off-market transaction, as The Real Deal first reported. Local real estate investors Benjamin Hadar and Leonard Solomon of Upwest Co. have owned the properties since 1982, according to city records.

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Meridian Capital Group Senior Managing Director Ronnie Levine and Vice President Shamir Seidman arranged the three-year loan, which carries a Libor-based floating rate and interest-only payments for the full term.

“These buildings were a tremendous opportunity for our clients to acquire prime Central Park West rental properties,” Mr. Seidman said. “Despite the assets having a number of vacancies and some deferred maintenance, Meridian was able to make a market for the loan and negotiate proceeds in excess of 70 percent loan-to-cost.”

A representative for Annaly did not immediately respond to inquiries for comment.