Kaufman Organization Secures $42M for Manhattan Tower
Apple Bank provided the loan.
Kaufman Organization has secured a $42 million refinancing loan for The Nelson Tower, a 46-story office building in Midtown South Manhattan. Apple Bank provided the loan, while JLL Capital Markets arranged the deal.
The note retired a previous 14-year, $47 million loan issued by Capital One in 2016, according to Yardi Matrix information. Kaufman Organization has owned the 510,304-square-foot property since 1946, when the high-rise traded for $4.6 million.
JLL Capital Markets Senior Managing Director Aaron Niedermayer led the debt advisory team that worked on behalf of the ownership in the transaction.
A large volume of maturing debt currently drives this year’s recapitalization cycle, which pushes borrowers to rethink their deal structures. Sponsors use more complex capital stacks, combining senior loans with alternative financing sources, trying to remain flexible to better navigate current market conditions.
A closer look at Nelson Tower
Completed in 1930, Nelson Tower features floorplates averaging 16,800 square feet. The building’s roster includes Leaf, Miele, Manganelli, Fortunato & Engel, Martin Druyan & Associates, Peller & Co., Rosenblatt, Radezky, Schiff & Tepper and SLG Construction.
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The office building underwent several renovations over the past 30 years, in 1999, 2011 and 2019. The latest upgrades included renovations to the lobby and the elevators, as well as a tenant amenity suite, conference facilities and a rooftop lounge.
The Nelson Tower is at 450 Seventh Ave., on the corner with West 34th Street, one block away from Penn Station. The building is in proximity to several subway stations, on the 3, R, M and A trains.
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