Retail landlord Empire State Realty Trust scored a $30 million mortgage for condo building 1542 Third Avenue in the Upper East Side.
The financing, which was revealed in an SEC filing from earlier this week, is a 4.29 percent fixed-rate loan that matures in May 2027. The firm secured the financing last April.
According to David Karp, the firm’s CFO, the loan replaces an $18 million mortgage with an interest rate of 5.9 percent. “Excess proceeds will be used for general corporate purposes,” he said during an earnings call last week.
The property, also called The Gotham, is a 25-story luxury residential tower. Empire State Realty owns the three-unit retail condominium at the base of the tower. The space has frontage on the west side of Third Avenue between 86th and 87th Street and the north side of 86th Street between Lexington and Third Avenue. The retail spaces in the property are occupied by Starbucks and candy store IT’SUGAR.
During the first quarter of this year, Empire State Realty Trust signed 27 leases totaling 200,992 s/f. The company posted growth through its retail portfolio. During the quarter, the firm reached 94.4 percent occupancy in its retail spaces, up from 91.4 percent during the same time last year. Its biggest retail deal during the quarter was Target’s 43,000 s/f lease at 112 West 34th Street.
