The Zar Group has refinanced 1450 Broadway with a $210 million loan from Goldman Sachs Bank USA.
Meridian Capital Group’s senior managing director Tal Bar-Or, and vice president Richard Sutton, negotiated the five-year balance sheet loan with full-term interest-only payments.
The Zar Group — the real estate investment arm of the Zar family — had considered converting the 42-story, 400,000 s/f office tower to apartments when they bought it from a partnership of the Chetrit Group, Moinian Group and Edward J. Minskoff Equities for $204 million in 2011.
Instead, the company tapped Moed de Armas & Shannon to redesign the lobby and upgraded the building systems, installed key card building security systems, tenant-controlled HVAC and new restrooms.
Several office suites have operable terraces, a rare amenity among Manhattan office buildings, and the property features flexible floor plates, which appeals to small-and medium-sized companies seeking the prestige of a single floor identity.
Zar signed renewals with the BCBG Max Azria Group and Nederlander Television and Film Productions and brought in new tenants Authentic Lifestyle Products, AcadiaSoft Inc. Fujitsu General America Inc.
“Bobby Zar and his team have personally invested themselves in the successful repositioning of this property from a new lobby to pre-built suites,” said Bar-Or.
“The leasing interest and lender interest only validate their work. During this process, there were several lenders offering much higher proceeds, though the team chose to go with moderate leverage while still building a large capital base for future acquisitions.”
As well as leading the family’s investment arm, Bobby Zar Group runs Zar Apparel Group, a company that designs, manufacturers, imports, and exports women’s fashion apparel under Studio 1,
Sandra Darren, SD Collection, and JULIA JORDAN brands.