Starwood Leads $435M Refi of Queens Industrial Project
By Andrew Coen July 25, 2022 3:08 pm
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Innovo Property Group (IPG) landed a $435 million debt package led by Starwood Property Trust to refinance a new industrial development in Long Island City, the real estate investment firm announced Monday afternoon.
Starwood provided the senior loan while JPMorgan Chase supplied mezzanine debt on IPG’s The Borden Complex property at 23-30 Borden Avenue. IPG acquired the site for $75 million in January 2019 in a joint venture transaction with Atalaya Capital Management and Nan Fung Group before demolishing a FreshDirect warehouse on the location to make way for a new project.
Eastdil Secured‘s Gary Phillips, Steven Binswanger and Rob Turner arranged the transaction.
“The Borden Complex will be a draw to tenants looking to service Manhattan, Brooklyn and Queens with great efficiency,” Andrew Chung, founder and CEO of IPG, said in a statement. “The industrial sector has continued to outperform other asset classes, and given the optimal location and unique design features of this property, we expect this complex to be in high demand.”
Manhattan-based IPG is planning to turn The Borden Complex into a state-of-the-art multistory logistics and warehouse space with onsite parking upon its completion. The Queens industrial facility, which is a 10-minute commute from Midtown Manhattan, will feature truck courts and a vertical parking structure providing direct access to each level of the building. Construction of the facility is slated for completion in 2024.
JPMorgan and Starwood declined to comment.
Andrew Coen can be reached at acoen@commercialobserver.com
