Broad Street Development Completes Recap, Inks $175M Loan for 80 Broad Street

Broad Street Development, alongside private equity firm PCCP and property investment company One Investment Management, has successfully recapitalized 80 Broad Street and secured a $175 million construction loan for the adaptive conversion of the Lower Manhattan  property, also known as the Maritime Building, Commercial Observer can first report. 

Newmark’s Jordan Roeschlaub, Nick Scribani and Niv Shahmoon secured the financing through Derby Lane Partners.  Newmark’s Adam Spies and Adam Doneger brought in One IM and PCCP and led the broader recap, which totaled approximately $300 million, sources said. Newmark did not immediately respond to a request for comment. 

Located in the Financial District, 80 Broad Street is a 37-story office building, just over a block away from the popular cobblestone-lined restaurant and bar district on Stone Street. 

Earlier this year, Broad Street Development filed plans to convert the 430,000-square-foot office tower into 326 rental apartments by utilizing the 467m office-to-residential tax incentive program. The program provides property tax exemptions for converting nonresidential buildings in residential, as long as 25 percent of the units are designated as affordable housing. Once the conversion is completed, 80 Broad’s residential component will span 275,000 square feet, with its floorplates “well set up for a conversion,” one source said. 

“This recapitalization marks a major milestone and the formal launch of a residential redevelopment that will transform a historic downtown office tower into a modern residential community,” Raymond Chalmé, president and CEO of Broad Street Development, said in a statement. “We believed in the potential of this amazing property and the neighborhood. The Maritime Building boasts extraordinary ceiling heights and floor layouts in a Lower Manhattan location that is second to none. We are excited to work closely with such amazing partners as PCCP and One Investment Management, who share our passion and vision for this project.”

Manhattan’s Financial District is quickly becoming a hub for office-to-residential conversion developments including SoMA, a 1,320-unit apartment building at 25 Water Street that was formerly a 1.1 million-square-foot office complex. Residential conversions are also taking place at 101 Greenwich Street and One Wall Street. 

“Over the past decade, the Financial District has emerged as one of Manhattan’s fastest-growing residential neighborhoods, driven by large-scale office conversions, new retail and dining, and unparalleled access to the waterfront and public open space,” Daniel Blanco, managing partner at Broad Street Development, said in the statement. “80 Broad Street is a building that has long defined the skyline, and we are honored to help reimagine it as a residential community that respects its heritage while creating homes for the next generation of New Yorkers.”

Amanda Schiavo can be reached at aschiavo@commercialobserver.com.