New Equity and Debt Secured for NYC Apartment Tower Owned by Durst
A New York developer, Durst Organization, has successfully secured new equity and debt for a Long Island City apartment building. Durst brought in a new equity partner, Affinius Capital, in a deal that values the building at over $700 million. Affinius will hold a less than 50% equity stake, with an investment of more than $100 million. The equity recapitalization is set to close later this month.
In addition to the new equity, the property owner also secured $450 million in debt financing from Wells Fargo & Co., which was finalized in May. The deal was managed by a team from Newmark Group Inc. led by Adam Spies and Doug Harmon. However, spokespeople for Affinius, Newmark, and Durst declined to provide further comments on the matter.
The apartment building, named Sven, was completed in 2022 and consists of 958 units, including some affordable housing options. Standing at 755 feet (230 meters), it is the second-tallest tower in Queens and is part of the Affordable New York program, benefiting from a 35-year tax abatement that will expire in 2058. The debt financing for the project was first reported by Green Street’s Commercial Mortgage Alert.
(Source: Bloomberg)