NEW YORK CITY—Extell Development Co. reports it has closed on the largest construction financing in the firm’s history totaling $1.135 billion for its “supertall” Central Park Tower development here.
The financing package consists of a $900-million senior construction loan syndication led by J.P. Morgan and a $235-million preferred equity loan from an unnamed hedge fund. Central Park Tower, when completed, will be the tallest residential building in the Western Hemisphere at 1,550 feet high and will be located at 225 W. 57th St. Central Park. The mixed-use project will join other mega luxury properties along “Billionaires’ Row” in Midtown.
Extell is co-developing Central Park Tower with SMI USA, the US subsidiary of Shanghai Municipal Investment, a infrastructural investment company that developed Shanghai Tower. The two firms announced the joint venture to build the Central Park Tower in August 2016.
In addition to 179 luxury residences, Central Park Tower will also include an approximately 300,000-square-foot, seven-story Nordstrom department store. Nordstrom is opening its first stand-alone men’s store in Manhattan on Broadway between West 57th and West 58th Streets in April 2018. The company’s flagship store in Manhattan at the base of the Central Park Tower is expected to open in 2019.
“Extell has an exceptionally strong reputation with the lending and institutional investor communities and this sophisticated transaction affirms the confidence in Manhattan’s luxury condominium market,” states Gary Barnett, president and founder of Extell Development Co. “New York City has never known a supertall tower of this caliber and we are pleased to have our institutional partners on board to deliver a product that will be truly exceptional.”
Central Park Tower is being designed by Adrian Smith + Gordon Gill Architecture, known for global supertall developments including Burj Khalifa in Dubai and the Kingdom Tower in Saudi Arabia. Extell Development Marketing Group is expected to launch sales and marketing for Central Park Tower this year with completion projected for sometime in 2019.
Extell developed One57, the first supertall tower on Billionaires’ Row, which includes 132 condominiums above the Park Hyatt’s new five-star flagship hotel. One57 is home to the most expensive residence ever sold in New York City history at $100.5 million.