A joint venture looking to rejuvenate a trio of Garment District office buildings has secured $95 million in financing to get the job done.
JLL Capital Markets experts arranged loan for the acquisition and repositioning of 580 Eighth Avenue, 251 West 39th Street and 36 East 20th Street for East End Capital the private Ungar family office and also arranged the partnership of the two firms.
The loan was provided by LoanCore Capital. East End Capital, led by Jonathan Yormak and David Peretz, bought a minority stake in the three buildings from the estate of investor Steven Green, a spokesman for JLL confirmed. East
End will manage and reposition the buildings on behalf of the Ungar family.
“Together, East End Capital and its partner are provided a unique opportunity to fully reposition and operate three well-located office properties with terrific value-added potential,” said Aaron
Appel, vice chairman of a JLL Capital Markets team handling the debt assignment that included Jonathan Schwartz, Mark Fisher, Matt Collins and Patrick Cotter.
The property owner was represented by Doug Heitner, Sara Ho and Isaac Stern at Kasowitz Benson Torres LLP.
“As one of New York City’s premier real estate firms, East End is perhaps one of the most qualified operating managers to reposition these underperforming assets and execute the proposed business plan with its partner,” said Schwartz.
The partners are planning to aggressively reposition and re-tenant the 74,283 s/f 580 Eighth Avenue and the 117,518 s/f 251 West 39th Street and the 35,075 s/f 36 East 20th Street.
East End Capital will oversee the entire capital improvement effort and management of the office buildings and serve as leasing agent for the properties.
