Deutsche Bank, JVP Management Lend Legion $195M on Upper East Side Condo
By Andrew Coen August 7, 2024 3:41 pm
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Legion Investment Group has secured $195.1 million of construction financing to build a condominium tower on Manhattan’s Upper East Side, the developer announced Wednesday.
Deutsche Bank and JVP Management provided the loan on the planned 18-story condo building at 1122 Madison Avenue that Legion is co-developing with Nahla Capital. Surya Capital Partners’ Adi Chugh arranged the transaction.
“The Upper East Side, especially Madison Avenue, has experienced a notable increase in high-end luxury residential developments in recent years, which has underscored a significant demand for new construction near Central Park,” Victor Sigoura, founder and CEO of Legion, said in a statement. “Our project at 1122 Madison represents the last new development on the avenue for the foreseeable future, and we’re excited to introduce this project to the market, providing a unique and rare offering.”
Crain’s New York Business was first to report the financing.
Located at the southwest corner of Madison Avenue and East 84th Street, the 210-foot building will feature 22 condos and ground-floor retail space. Legion said it has 20,0000 square feet of air rights from its adjacent 20 East 84th Street property that will enable it to provide “unobstructed, panoramic” views of Central Park.
Legion and Nahla Capital acquired 1122 Madison in 2019 for $22.5 million, Crain’s reported at the time. Demolition permits were filed in late December by the co-developers for three buildings on East 84th as part of the project.
Genghis Hadi, Nahla’s managing principal, told Commercial Observer that the 1122 Madison project fits into its focus on “trophy class locations.” The firm is also currently building the The Rosewood Residences Beverly Hills project that will comprise 17 luxury condos.
“It’s of comparable quality in terms of asset class and location,” Hadi said of the Beverly Hills development in comparison to 1122 Madison. “It’s super high end in a very tight supply market and that’s what we focus on — high-quality product in high-quality locations.”
JVP Management did not immediately return a request for comment. Deutsche Bank declined to comment.
Andrew Coen can be reached at acoen@commercialobserver.com
