An aerial of The Eleventh mixed-use luxury project being built in West Chelsea.
NEW YORK CITY—HFZ Capital Group has secured construction financing that is reportedly valued at more than $1 billion for its massive mixed-use project on the High Line called “The Eleventh.”
HFZ Capital has begun construction on the luxury mixed-use project that will feature two towers of 300 feet and 400 feet in height, 240 luxury residences and a 137-key flagship North American location of Bangkok-based Six Senses Hotels Resorts Spas. The project, located at at 76 11th Ave. between 17th and 18th streets, will also include some retail space as well as a public open-air pedestrian promenade that will run adjacent to the High Line. The promenade component is being developed in partnership with the Friends of the High Line.
The towers, when completed, will be the tallest buildings in West Chelsea.
Back in 2015 in a total financing deal valued by Globest.com and other sources at $1 billion, HFZ Capital secured $870 million in acquisition and pre-development financing in May 2015 from a consortium of lenders, including JPMorgan, BlackRock and SL Green Realty.
The latest financing deal with a U.K.-based financial institution announced this week was valued at $1.25 billion, according to a report published in The Real Deal. HFZ principal and chief investment officer John Shannon directed the firm’s negotiations to secure this financing with the institution.
The Eleventh, designed by Bjarke Ingels Group, is scheduled to open in 2019. Sales of the condominium units are set to begin later this year.
“We’re pleased that our lender shares our vision for The Eleventh and the unique role it will play in contributing to the transformation and elevation of Manhattan’s far West Side,” says HFZ Capital chairman and founder Ziel Feldman. “This project captures the modern age and Bjarke Ingles helps to showcase the era in the skyline for all to enjoy. This remarkable work of art signifies the continued appeal of the High Line and its place as an iconic destination.”
Pegasus Capital Advisors L.P., a New York City-based private equity fund that acquired Six Senses Hotels Reports Spas in 2012, is also a partner in the development project with HFZ.