Walker & Dunlop has arranged a $293,200,000 refinancing for 40 Tenth Ave., a mixed-use property located in Manhattan’s Meatpacking District. The 158,957-square-foot building combines office and retail space and is described as fully leased on the office side, with an institutional tenant roster and significant outdoor areas for occupants.
Walker & Dunlop Capital Markets Institutional Advisory advised Aurora Capital and William Gottlieb Real Estate on the transaction. The advisory team arranged a fixed-rate, permanent debt refinance on behalf of the ownership, sourcing the loan from Corebridge Financial, Inc. The financing replaces existing debt on the property with long-term, fixed-rate capital.
The Walker & Dunlop team on the assignment included Dustin Stolly, Aaron Appel, Jonathan Schwartz, Keith Kurland, Adam Schwartz, Sean Reimer, Jordan Casella and Stanley Cayre. They structured the refinancing to align with the fully leased status of the office component and the building’s tenant mix across both office and retail uses.
Commenting on the transaction, Stolly noted that 40 Tenth Ave. distinguishes itself through its building quality, location and overall experience for tenants. He added that the combination of a fully leased office portion, institutional-grade tenants and extensive outdoor space points to ongoing demand for well-located, high-touch workplaces in New York.
Completed in 2019 and designed by Studio Gang, 40 Tenth Ave. consists of 112,241 square feet of office space located on floors three through 10. The ground and second floors comprise 46,716 square feet of retail space. Hyundai Motor occupies the property’s entire retail component, while the office space is leased to tenants that include Starwood Capital Group, WestCap Management, RTW Investments, Stripes and Checkout.com.
The refinancing of 40 Tenth Ave. with fixed-rate, permanent debt from an institutional lender underscores lender appetite for newer, fully leased mixed-use assets in core locations of Manhattan, particularly properties with a diversified, institutional tenant base and modern design.
