Mission Capital has arranged $20 million in equity for 146 rent-regulated condominiums at 733 Amsterdam Avenue on the Upper West Side, Commercial Observer can first report.
The equity injection was provided by Meadow Partners, according to a source familiar with the deal, and was provided in addition to $55 million in debt from Mack Real Estate Credit Strategies, for a total investment of $75 million.
Jason Parker and Jeff Granowitz, managing directors of Mission Capital’s debt and equity finance group, arranged the transaction on behalf of investor and developer Myles Horn of ABC Properties, who sourced the deal on the 229-unit Axton building condos. Horn then brought in Mission Capital to find a joint venture partner, a source with knowledge of the deal told CO.
“Our client, Myles Horn of ABC Properties, was seeking to acquire this well-appointed property with significant upside, and we were able to run an exclusive [joint venture] equity process in a very short timeframe to bring in a partner that would enable him to move forward with the transaction,” Granowitz said in prepared remarks.
A spokeswoman for Horn and ABC Properties declined to comment on the transaction, and Mission Capital declined to comment beyond the release on the details of the financing.
“Myles and ABC have consistently been able to execute their value-add business plan and unlock the hidden potential of condominium properties,” Parker said in prepared remarks. “This is a trophy-type property in one of New York’s most attractive neighborhoods, and Myles recognized the significant potential that this condo package presented.”
Meadow purchased the condos for a discounted $61.3 million from lister Starrett Corp. earlier this month, property records show, using the Mack Real Estate Credit Strategies’ $55 million loan to finance the acquisition. Meadow acquired the units at a near 40 percent discount as Starrett had initially asked for more than $105 million when the block hit the market last year, according to The Real Deal.
Listing broker Mark Zborovsky declined to comment on either transaction.
The 28-story rental building, which has an alternate address of 175 West 95th Street, was constructed in 1971. Starrett converted the property into a multi-family condominium in 2015, and went to work with renovations that include a revamped entryway, terraces and common areas, according to information from a news release detailing the transaction. The building also features a 24-hour concierge, a new fitness center, a children’s play space and a lounge.
ABC Properties has planned additional capital improvements to both common areas and apartment interiors.
Officials at Starrett Corp. did not immediately return a request for comment. A spokeswoman for Meadow Partners declined to comment on the deal.