The proprietor of a former 100-key resort is handing over one other key — to the constructing itself.
Retailers Hospitality offered the constructing at 11-01 forty third Avenue in Lengthy Island Metropolis to a creditor, Taconic Capital, for roughly $38.4 million. Crain’s first reported the sale.
Retailers paid $32.25 million for the property in 2018. Taconic refinanced $30 million of debt on the constructing in 2019, including an $8 million mortgage on prime of that quantity.
Neither Retailers nor Taconic returned requests for remark.
The constructing was beforehand residence to the Z NYC Resort, which closed final summer season. Hospitality startup Sonder had agreed to lease your entire 100-room property earlier than the pandemic, however ended up strolling away from its lease. Final August, Retailers filed a lawsuit towards Sonder for $2.5 million, alleging its tenant breached the lease settlement. The go well with is ongoing.
Whereas many lodges have closed because of the pandemic, fewer than anticipated have offered for causes of monetary misery, thanks partly to low rates of interest retaining debt markets alive.
Amongst those who have offered embody the 600-room Watson Resort at 440 West 57th Avenue, which Isaac Hera’s Yellowstone Actual Property Investments acquired for $175 million.