Sutton, Thor and Aurora’s $200M Loan on Nike SoHo Store Hits Market
By Celia Young January 12, 2022 10:55 amreprints
Jeff Sutton‘s Wharton Properties and his partners have put up for sale the $195.3 million loan on Sutton’s retail property at 529 Broadway, home to a Nike store, according to a source familiar with the deal.
The financing, first provided by UBS and Morgan Stanley in 2016, was assigned to Rothesay Life, a U.K.-based insurer the same year, per city property records. The performing loan matures in September 2026 and is being sold with a 3.42 percent fixed-rate coupon, according to the source.
Sutton, A&H Acquisitions, Bobby Cayre’s Aurora Capital Associates and Joseph Sitt’s Thor Equities bought the six-story SoHo retail development in December 2012 for $146.9 million from the Goldstein family, as Commercial Observer previously reported. When the joint venture purchased the property, Deutsche Bank provided $100 million in acquisition financing, which was later refinanced by the UBS and Morgan Stanley loan.
The 52,500-square-foot building is anchored by a Nike store — reportedly paying $16 million a year in rent, at least before the pandemic. Nike has more than 10 years left on its lease at the building, according to the source. The four owners did not immediately respond to requests for comment on the deal.
Eastdil Secured is marketing the loan. The firm declined to comment on the sale. Morgan Stanley, UBS and Rothesay Life did not immediately respond to requests for comment on the loan.
With additional reporting provided by Cathy Cunningham.
Celia Young can be reached at email@example.com.