Klosed Properties and Namdar Realty Corp. recently acquired a $26.2 million bank note for a 15-story midtown office building located at 20 East 46th Street in New York City. The note was purchased from East West Bank, with the original balance being $30 million.
The 94,461 square foot building includes ground floor retail space and underwent complete renovation in 2017 under Elie Schwartz’s Nightingale Properties ownership when they obtained the loan to purchase the leasehold of this 15-story structure back in 2016. Unfortunately, Nightingale defaulted earlier this year due to misappropriation of funds from small-time investors on CrowdStreet’s crowdfunding platform leading up to Klosed Property’s purchase of the loan which was already in default at that time with an outstanding balance reduced down to $26.2 million .
