Cushman & Wakefield served as the exclusive advisor to affiliates of a joint venture led by Savanna in arranging a $315 million senior mortgage loan secured by One Court Square, Long Island City’s largest and most notable class A office tower.
The fixed rate financing was provided by Natixis Real Estate Capital LLC.
The 1.5 million square foot office and retail building was built in 1989 and is fully leased to the consumer division of Citibank.
A Cushman & Wakefield Equity, Debt and Structured Finance team of Steve Kohn, John Alascio, Alex Hernandez, Chris Moyer and Alex Lapidus represented affiliates of a joint venture led by Savanna.
“In addition to the strong attraction of the asset quality, premier sponsorship and credit tenancy, Long Island City has become a highly sought-after submarket in New York City,” said Kohn, president of Cushman & Wakefield Equity, Debt & Structured Finance.
Alex Hernandez, a Cushman & Wakefield Managing Director added, “Notwithstanding the recent volatility in the capital markets, lenders appreciated the credit cash flow and the attractive basis.”
The Savanna JV put One Court Square on the market earlier this year and tapped Bob Knakal at Cushman & Wakefield to market the property to potential buyers. It is expected to fetch far north of the $500 million it last traded for in 2011, thanks to a boom in Long Island City office rents.