Starwood Property Trust announced that it led the origination of a $475m first mortgage and mezzanine loan for phase one of Related Companies and Oxford Properties Groups’ Hudson Yards Project. Starwood will provide $350m in funding and the remainder will be contributed by Oxford Properties Group and the United Brotherhood of Carpenters and Joiners.
The loan will help finance the development of the development’s 1.7 million sqm South Tower located on Manhattan’s West Side. The interest rate floats over LIBOR and the loan matures in four years with a one-year extension option.
Situated on the northwest corner of 30th Street and 10th Avenue, the South Tower is the first vertical development in what will ultimately be the largest private master planned development in New York City history. Currently under construction with occupancy slated for 2015, the 47-story South Tower will be home to a number of leading brands including Coach Inc., L’Oreal USA and SAP. Altogether, the 26-acre site that constitutes Hudson Yards will contain over 13 million sqm of office, residential, and retail space. The project will also include 14 acres of open space and parks.
