Lightstone Group Gets $300M Construction Loan For 800-Foot Condo Tower

Lower Manhattan is getting more luxury condos targeted at the next generation.

Lightstone Group has secured a $305M construction loan from Mack Real Estate Credit Strategies to build an 800-foot-tall spiral condo tower at 130 William St., Crain's New York Business reports. Meridian Capital Group senior managing director Drew Anderman arranged the loan.

The building, scheduled to be completed by the fall of 2019, will cost about $600M. With a glut of new luxury condo supply, some feel developers will be slashing prices on condos, putting projects in turmoil.

Lightstone worked through a complex process, buying several properties to purchase the development parcel for below-market prices. Units will be sold at lower prices than the ultra-luxe condos that have struggled to sell, Lightstone president Mitchell Hochberg said. Condos at lower price points have experienced rapid sell-outs.

The firm will sell units on average at $2K/SF, below the $3K/SF number at some of the most expensive new projects. Half the building will be studios and one-bedrooms — smaller apartments targeting the young, single community of workers in downtown Manhattan.

Richard Mack, a real estate investor and developer, is another example of real estate firms acting as lender in the current financing market.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's New York Newsletters
Related Stories

Build Inc. Served With Notice Of Default On India Basin Project

Tennessee University Plans Campus In Chamblee: The Atlanta Deal Sheet

FBI Opens Investigation Into Multifamily Investor Lurin Capital

Ruben Cos. Says It Can't Sell, Finance Navy Yard Multifamily Project

Troubled Multifamily Loans Face A Refinancing Problem: Who Puts In New Equity?

NYC Lawmakers Consider Mandating Lease Extensions For Retailers

NYC Pushes To Use Opportunity Zone 2.0 For Mamdani's Housing Goals

DOJ Charges LA Nonprofit Workers With Misusing $8.7M Meant For Housing Aid

Bugatti Lends Brand To 60-Story Miami Condo Tower

Where Capital Meets Opportunity: Navigating The Next Wave Of CRE Financing At Bisnow’s Event On Sept. 30

Discussing Strategic Capital Stack Structuring At Bisnow's Sept. 30 National Finance Event

With Occupancy Brimming, Investors Pile Into Bay Area Apartments