Hartz Mountain Secures $230M Refi for Roxy and Soho Grand Hotels
By Mark Hallum August 30, 2024 12:18 pm
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Two well-known hotels in Lower Manhattan are getting refinanced with a $230 million loan from J.P. Morgan.
Hartz Mountain Industries will use the loan to restructure its pre-existing $250 million debt on the Soho Grand Hotel at 310 West Broadway and the Roxy Hotel at 2 Avenue of the Americas, PincusCo first reported.
The existing commercial mortgage-backed securities (CMBS) loan was issued by Credit Suisse and placed in the CSAIL 2015-C1 CMBS deal.
Hartz Mountain, which is owned by the Stern family, built the Soho Grand Hotel in 1996, while the Roxy Hotel was acquired by the current owners from the banks in 1999 before Leonard and Emanuel Stern turned it into the Roxy.
J.P. Morgan and Hartz Mountain did not immediately respond to a request for comment.
Hartz Mountain’s history goes back to 1926 when it was founded by Max Stern as a pet supplies company. Other assets include 667 Madison Avenue, which the company built in 1987, and 32-38 Cooper Square in Manhattan’s NoHo neighborhood.
In 2021, it unloaded 1000 Harbor Boulevard in Weehawken, N.J., from its portfolio for $219 million, selling the office property to Jeff Sutton’s Wharton Properties and Korean investment fund KTB Investment & Securities.
Mark Hallum can be reached at mhallum@commercialobserver.com.
