The Blackstone Group has acquired the mortgage note to 1140 Sixth Avenue, according to sources. The 225,000 s/f building was being foreclosed on by lenders at the property including the German banks Landesbank Baden and Deutsche Hypo, according to written reports.
Larry Gluck, chief executive of the real estate investment firm Stellar Management, acquired the building from SL Green near the top of the market in 2006 for $97.5 million. During the downturn, Gluck wrangled with his lenders, alleging that they had cut off funding for renovation work he was doing at the 22-story tower. More recently, the property slipped into default.
The brokerage firm Holliday Fenoglio Fowler handled the sale, which sources say traded for about $90 million.
