Cushman & Wakefield served as the exclusive advisor to ZG Capital Partners in the procurement of $44.8 million in acquisition financing for the Bruckner Building in the South Bronx.
The financing was provided by Ladder Capital.
ZG Capital, a partnership between Bobby Zar and James Tamborlane, officially purchased the Bruckner Building for $65 million.
The loft-style office building in Mott Haven neighborhood of the South Bronx is the first purchase of the new venture.
Together, the partners plan to buy and reposition office, industrial and mixed-use buildings throughout Manhattan and the outer-boroughs.
“Bobby and I are thrilled to have created this company,” said James Tamborlane. “I am extremely confident that my 15-year tenure at MHP and Bobby’s expertise in creatively repositioning properties into acclaimed assets such as 1450 Broadway, will help us as we begin in our new venture.
“We think the Bruckner Building perfectly showcases our strategy and the type of assets we are looking to acquire,”
A Cushman & Wakefield Equity, Debt & Structured Finance team of Gideon Gil, Alex Lapidus, Maya Steinberger and Adam Doneger represented ZG Capital Partners.
Cushman & Wakefield will also serve the property manager for the asset under the new ownership.
“The Mott Haven submarket of the South Bronx is experiencing a surge in commercial and residential demand,” said Gideon Gil. “Our client was strategic about the Bruckner Building’s location and its ability to compete long-term in this submarket. Lenders were excited about the combination of sponsorship, location and the upside in the submarket and positive cash flows.”
The Bruckner Building is an eight-story, 188,000 s/f property comprised of commercial lofts. It is located at 2417 Third Avenue in the Bronx.
The building has recently undergone major capital improvements, including a full lobby and entrance renovation, new elevators, building-wide window replacements, exterior and façade updates and new common corridors.
Ownership also has residential development rights for 30,000 s/f on an attached lot.