This Week’s N.Y. Deal Sheet: Apollo Takes 100K SF At 590 Madison Ave.
Apollo Global Management has struck a deal that will see its Bryant Park employees working closer to its Manhattan headquarters.
The asset manager has signed a 100K SF lease at State Teachers Retirement System of Ohio's 590 Madison Ave., a 1M SF office building in the Plaza District managed by Edward J. Minskoff Equities, according to a release.
Apollo will occupy floors 10 through 13 in the 42-story building and plans to move into the space by the end of next year. 590 Madison is one block over from Apollo's Manhattan HQ at Soloviev Group's 9 W. 57th St., where it signed for 175K SF in 2018.
Tenants within 590 Madison have been downsizing and leaving — IBM cut its footprint to 50K SF, law firm Crowell & Moring relocated to 2 Manhattan West and Morgan Stanley left a 50K SF space in the building, Crain’s New York Business reported last fall.
But its fortune may be changing. Minskoff said that the deal with Apollo came on the heels of roughly 250K SF of new leases, renewals and expansions in the building. The retirement system is hoping to sell the tower for a $1.1B price tag.
Apollo has been subleasing 71K SF from MetLife at Salesforce Tower, 1095 Sixth Ave., since 2018 and has been negotiating the deal for space at 590 Madison for at least a few weeks, according to previous reporting from Commercial Observer.
CBRE’s Evan Haskell, James Ackerson, Brett Shannon, Liz Lash and Sinclair Li repped the landlord, with Jeffrey Sussman and Matthew Pynn representing the landlord in-house. CBRE’s Stephen Siegel, Michael Geoghegan, Michael Wellen, and Ryan Luck represented Apollo.
TOP LEASES
Amalgamated Bank is relocating to Global Holdings’ 99 Park Ave. with a 94K SF lease, according to a release. The 26-story building, which is undergoing a $30M capital improvement program, is now 98% leased. Recent deals include Geller & Co.’s 45K SF lease. Global Holdings’ Craig Panzirer and Alex Radmin plus JLL’s Paul Glickman, Diana Biasotti, Kristen Morgan and Harrison Potter repped the landlord. JLL’s Daoud Awad and Chris Kraus represented Amalgamated Bank.
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RFR signed a total of 30K SF across two leases at 477 Madison Ave., according to a release. Treville Capital signed for 18K SF on the eighth floor and was repped by JLL’s Peter Michailidis. Fiera Capital has signed for the full seventh floor, roughly 12K SF, with representation from Newmark’s Neil Goldmacher and CJ Heitner. Both deals have a lease term of 10 years. CBRE’s Arkady Smolyansky and Alex D’Amario repped RFR in the deal. Other tenants in the 325K SF, 24-story Midtown tower include financial and investment firms Ariel Alternatives, Atlas Merchant Capital and Cliffwater.
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Arup is taking 99K SF at Union Investment’s 140 Broadway office building, the New York Business Journal reported. The sustainable development consultancy will occupy floors 17 through 21 of the 51-story tower for 16 years and six months. Arup is relocating from 77 Water St., where landlord Vanbarton Group recently obtained $280M in conversion financing to turn the office property into a residential building, leading Arup to leave its Financial District home of a decade for its new digs just a 10-minute walk away. The 1.2M SF building at 140 Broadway is still marketing around 300K SF of office space.
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Trader Joe’s is staying put at its Chelsea location, signing a 30K SF lease renewal at GFP Real Estate’s 675 Sixth Ave., Commercial Observer reported, citing a retail report from CBRE. The popular grocery chain has been in the building since 2019, where other tenants include crafts supply store Michaels and commercial real estate data firm CompStak.
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Luxury fashion house Miu Miu has signed a 24K SF renewal for its space at the base of Hearst Corp.’s 11 E. 57th St., Commercial Observer reported, citing a retail report from CBRE. The apparel retailer has been in the building since 2007, when it took over the space from fellow Prada subsidiary Jil Sander. The six-story building has been owned by media brand Hearst since 2002.
TOP FINANCING DEALS
A World Trade Center-adjacent condo project that has stalled during construction scored a fresh $350M loan from Starwood Property Trust, Commercial Observer reported. The 88-story Rafael Viñoly condo known as The Greenwich, at 125 Greenwich St., broke ground in 2017. Work on the 271-unit tower is now almost complete. The developers are a joint venture between Fortress Investment Group, Bizzi & Partners and Bilgili Holding. Fortress joined as the lead equity partner in 2023 with a $285M investment, with Madison Realty Capital and Northwind Group injecting another $313M in financing into the development when Fortress joined the sponsorship team. Fortress paid down $187M of previous debt held by Singapore-based United Overseas Bank, shutting down United Overseas’ 2019 foreclosure threats. A Newmark team led by Jordan Roeschlaub, Nick Scribani, Daniel Fromm and Holden Witkoff as well as an Arrow Real Estate Advisors team including Morris Betesh, Alex Bailkin and Matt O’Hanlon arranged the most recent financing from Starwood.
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Citigroup will lend $88M to refinance a 138-unit development at 828 Metropolitan Ave. on the edge of East Williamsburg, Commercial Observer reported. The borrowers are a consortium of developers, including Joyland Management, the Kubersky family, Prospect Developers, Yoel Hershkowitz, Judy Wolcowitz and Konstantin Gubareff. The project, which has almost 10K SF of commercial space and an indoor parking garage, is being marketed as The Wave Metropolitan Avenue and has an alternative address of 9 Bushwick Ave. It previously received a $60M constriction loan from Bridge City Capital in 2023 and is a beneficiary of the now-expired 421-a tax abatement.
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Maverick Real Estate Partners scored a $107M loan from Related Fund Management for 255 W. 34th St., a hotel project seized by Maverick from Chetrit Group in 2023, The Real Deal reported. The new loan was first reported by PincusCo. Chetrit purchased the site in 2014 and started building a 155K SF building to be operated by IHG Hotels & Resorts five years later, but the pandemic interrupted the property’s trajectory. Maverick purchased $110M of the project’s debt in spring 2022, about a month after the loans matured, and pursued Chetrit to pay off the debt. The following year, Maverick sued Chetrit Group, claiming it failed to complete the project and neglected mature loans in spite of the loan agreement. Maverick then acquired the building at a foreclosure auction, although its founders told TRD in the same year that it wasn’t interested in owning or managing real estate.
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Tishman Speyer netted a $331M construction loan for a 40-story, 924-unit tower at 50 Hudson St. in Jersey City, according to a release. The financing was led by Canadian pension fund Caisse de Dépôt et Placement du Québec. The waterfront residential project, which will have tenant amenities and 10K SF of retail space at its base, is expected to be completed by 2028.
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Hampshire Properties nabbed a $23M refinancing deal for three Williamsburg properties, PincusCo reported. Argentic Investment Management provided the debt for a luxury residential building and two retail condos at 510 Driggs Ave.
TOP SALES
Ryco Capital sold 414 West Broadway, a building with a 5-unit residential condo and a 3K SF retail condo in SoHo, for $18.7M, PincusCo reported. The buyer was Blue Broadway LLC, in the care of the law firm Gabler & McVeety.
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The Carlyle Group continued with its NYC self-storage shopping spree, Crain’s reported. The private equity firm shelled out $50M acquiring 1-19 Remsen Ave., a self-storage facility in East Flatbush. The acquisition is at least its sixth in the five boroughs, following at least five self-storage purchases totaling $128.1M in 2024 alone. The seller for its latest acquisition was real estate investment firm Cayre Equities.
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The building housing a Park Slope preschool has sold for $12.6M, PincusCo reported. The seller was nonprofit University Settlement Society of New York, while the buyer was an Israeli development consortium via a shell company, The Lincoln Place Property Owner LLC. CBRE’s Daniel Kaplan and Justin Arzi brokered the deal.
CORRECTION, APRIL 15, 11:30 P.M. ET: A previous version of this article included a typo related to 99 Park Ave.’s occupancy level. This story has been updated.
