AIG Upsizes Simon Baron’s LIC Resi Tower Construction Debt With $200M Loan
By Mack Burke October 25, 2018 1:31 pm
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AIG has provided just over $200 million to Simon Baron Development to upsize previous construction debt on Alta+ LIC, the developer’s Long Island City, Queens residential tower, according to records filed today with the New York City Department of Finance.
The financing for 29-26 Northern Boulevard included a fresh $50 million supplemental mortgage over the $150 million in previous debt from the life insurer from December 2016, records show. The deal closed on Oct. 17.
Simon Baron and joint venture partner Quadrum Global, a global real estate investor, developer and manager, teamed up to erect the building, together securing the construction financing in 2016, with plans to finish the project this year.
The lenders on this package included AIG subsidiaries American General Life Insurance Company, the United States Life Insurance Company and the National Union Fire Insurance Company.
The 42-story project, which is the largest co-living development in the country, will comprise just over 500,000 square feet and 467 apartments, which are split between traditional floor plans and all-inclusive, “hotel-style” co-living suites. The co-living units will have the benefit of a reduced rent.
Ollie, a company that aims to provide all-inclusive, co-living arrangements, styled like hotels, spearheads that component of the development; Simon Baron founders Jonathan Simon and Matthew Baron helped found Ollie and are on the board as partners.
Aside from the co-living option, the development includes a nearly 10,000-square-foot wellness center with concierge services, an 18-hole golf simulator, a yoga studio, an indoor lap pool, a fitness center, a coworking lounge and a game hall, as per the property’s website. The building also features a landscaped rooftop terrace and outdoor decks as well as an outdoor movie screen and viewing area.
Rents are listed at $2,477 for studios to $4,796 for two bedroom apartments. Monthly rents for Ollie’s co-living suites range from $1,500 to $2,100 for two-bedroom units and $1,400 to $1,625 for three-bedroom apartments, according to the property’s website.
The Quadrum and Simon Baron joint venture has partnered on several apartment and hotel developments in the city, including The Chamberlain hotel at 269 West 87th Street, a residential building at 393 West End Avenue, the Arlo NoMad hotel at 11 East 31st Street and a mixed-use development at 45-40 Vernon Boulevard in Long Island City.
Spokesmen for AIG and for Quadrum Global did not immediately respond to an inquiry. Baron, the president of Simon Baron, did not immediately respond to a request for comment.
