Capital One announced that it has provided a $40 million refinance loan for a Lower Manhattan office building owned by Jack Resnick & Sons and the Ruben Cos.
Proceeds were used to pay an existing CMBS loan and to fund capital improvements – the flexible rate loan on the 22-story, 216,204-square-foot office building at 161 William Street has five years of interest-only payments.
Jack Resnick & Sons and the Ruben Cos. have jointly owned the building since 1978 and have continually modernized it. The latest property update was in 2009, when a new marble lobby was installed, along with a new cooling tower and an upgraded elevator system. The Financial District office building has a long-term anchor tenant, namely Pace University, which has steadily increased its footprint in the building since the first lease was signed in 2001. Pace currently occupies 83.5% of the building and the lease matures in October 2021.
Two years ago, the University opened a new residence hall next to the office building, at 33 Beekman Street. According to The Real Deal, Pace also bought a share of the 179,000-square-foot dormitory ground lease last year, from SL Green Realty and the Naftali Group.
Capital One financed a San Francisco office building for Jack Resnick & Sons last year – Jonathan Smith, vice president with Capital One, stated “the property is well-located in Lower Manhattan and has a long-term anchor tenant, Pace University. Financing 161 William Street gave us the opportunity to expand our relationship with Jack Resnick & Sons to New York City.”
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