Prime Manhattan buildings are trading at unprecedented valuations.
June 17, 2013
As evidenced by the recent large deals at the General Motors Building, 650 Madison Avenue, Sony Building, etc., domestic and international investors are investing in prime Manhattan real estate assets at unprecedented valuations.
As such, to reap the benefit of this market dynamic we encourage you to immediately retain Carlton to help you sell and/or recapitalize your Manhattan property.
However, with the recent run-up in interest rates, increased finance costs could have a chilling impact on future valuations, so we urge you to discuss selling or refinancing your Manhattan assets now before the expected continuing increase in interest rates adversely affects the valuation for your property.
As you may know, Carlton is one of the leading real estate investment banking intermediaries, connecting our clients to high-net worth, sovereign wealth, Russian oligarchs and other unconventional capital sources around the world to get the best valuation and terms. We also specialize in raising money for development transactions and have completed over $2 billion of construction and development transactions within the last 9 months, as well as providing sophisticated investment sale and/or large refinancing on cash flowing assets.
Outlined below, please find a short list of certain large Manhattan transactions which we have recently executed. Overall, Carlton has completed over 40 million sf of closings, representing $50 billion of Manhattan transactions over the last 20 years.
$202 Million Loan at Chatsworth Acquisition and Conversion Financing – Carlton represented prominent developer Ziel Feldman, head of HFZ Capital and their partner BSG Real Estate, to acquire the Chatsworth, a beaux-arts rental building at the corner of 72nd Street and Riverside Drive. Carlton worked quickly arranging a big acquisition and renovation financing at one of the most attractive rental properties in Manhattan.
$250 Million Equity and Debt for Ground Up 50-story Rental Tower in Rincon, San Francisco – Carlton accessed $100 million of equity from a major insurance company and also closed a $120 million non-recourse construction loan to facilitate the acquisition and development of this 50-story luxury, rental property in San Francisco.
$400 Million Investment Sale At 701 Seventh Avenue – Carlton arranged the investment sale of this prime 300,000sf development site in the heart of Times Square, which will be developed into a prime retail, signage and 500-key hotel project.
$600 Million Debt and Equity Raise for The Acquisition, Development And Construction Of 701 Seventh Avenue – Arguably, this was the premier development transaction of 2012 in Manhattan. For this transaction, Carlton arranged a $475 million acquisition and construction loan, along with $125 million of structured and common equity from a NYSE listed company and two high-net worth investors.
$400 Million Construction Loan for Large Manhattan Ground Up Condo Development At 432 Park Avenue – This construction loan closing was arranged by Carlton with one of its proprietary European balance sheet lender relationships. This transaction once again validates Carlton’s unique ability to access international balance sheet capital providers to facilitate large, complicated transactions.
Confidential Downtown Manhattan Residential Tower And Hotel – Carlton arranged 90% land acquisition financing and a joint venture between two prominent developers for the acquisition and construction of a 25-story tower condominium and upscale 370 key hotel. In addition to arranging the partnership between the iconic duo, Carlton also arranged a high leveraged land loan to facilitate the acquisition and predevelopment of what is sure to be one of Manhattan’s most valuable residential and hospitality properties.
350,000 sf Multifamily Ground Up Development In Long Island City – Carlton arranged the acquisition debt and equity for this acquisition, as well as organizing a joint-venture amongst three highly successful investors and developers. The acquisition and predevelopment loan will facilitate the acquisition and predevelopment of this 350,000sf to be constructed multifamily rental tower in burgeoning Long Island City.
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