NEW YORK—Meridian Capital Group LLC and Eastdil Secured, negotiated $275 million in permanent financing for the acquisition of the fee position in the Milford Hotel in New York City on behalf of a partnership between David Werner and Deutsche Asset & Wealth Management’s real estate investment business.
The 10-year, fixed rate, full-term interest-only CMBS loan was provided by Morgan Stanley Mortgage Capital Holdings, LLC. Meridian Managing Director, Abe Hirsch and Managing Director, Head of Equity Capital Markets, Peter Steier, both based in Meridian’s New York City headquarters, negotiated this transaction along with representatives of Eastdil Secured.
The new financing facilitates the acquisition of the fee interest in the 1,331-room hotel unit located at 700 Eighth Avenue, between West 44th Street and West 45th Street, in New York, NY, from a venture between Rockpoint Group and Highgate Holdings. The 26,000-sq.-ft. retail unit is held in separate ownership.
The Milford Hotel is a full-service hospitality property operated by Highgate Holdings. The hotel features a new 8,700-sq.-ft., a 2,900-sq.-ft. indoor/outdoor rooftop bar and a state-of-the-art fitness center. The property’s infrastructure has also been completely upgraded and modernized to substantially more energy efficient standards as part of a recent capital improvement plan.