GFP Real Estate and Northwind Group announced the closing of $100 million in refinancing for 40 Exchange Place.
The 20-story, 300,000 s/f office and retail building is located in the Financial District, steps from the New York Stock Exchange, the Fulton Street transportation hub and the World Trade Center complex.
The announcement was made by GFP Real Estate co-CEOs Brian Steinwurtzel and Eric Gural, and Northwind Group Managing Partner Ran Eliasaf.
Paul Talbot, Senior Managing Director with Newmark Knight Frank, arranged the 10-year, fixed-rate refinancing loan on behalf of ownership through Capital One Bank.
GFP Real Estate and Northwind Group acquired 40 Exchange Place in November 2016 and have since enacted a capital improvement program for the property, which is now coming to its conclusion.
Ownership has improved tenant spaces and building systems, including a new lobby, common areas, elevator cabs, façade restoration, new storefronts, roof, fire alarm, sprinklers, tenant HVAC systems and restrooms.
“We are excited to reach the final stages of the transformation and full renovation of 40 Exchange Place,” said Steinwurtzel.
“Leasing activity has been strong and we felt the time was right to refinance from a construction loan to long term financing.”
“This refinance with Capital One signals the transformation of the property into one of FiDi’s most exciting office buildings, offering beautiful spaces at great value to a wide range of tenant types,” added Eliasaf.
“We received a very strong response from a number of lenders, including insurance companies, banks and conduits,” added Talbot.
“Capital One understood our requirements and worked with us to lock our rate early while providing the flexibility to complete our renovation.”
The property is expected to reach over 90 percent occupancy within the next six months and is currently leased with a roster of prominent tenants that include Knotel, Kaufman Dolowich & Voluck, LLP and Multicultural Radio Broadcasting.
Earlier this year, ownership announced significant leasing activity at the building comprised of new leases with Powell Communications, Wolf Kasteler Public Relations and New Knowledge Organization.