CWCapital takes title to massive NYC apartment project for $4b
CWCapital Asset Management, on behalf of a consortium of lenders, has taken title to Peter Cooper Village and Stuyvesant Town, one of Manhattan’s largest apartment complexes totaling 11,232 units. The sales price is reportedly approximately $4.4 billion, or $391,738 per unit.
The sellers were Tishman Speyer and BlackRock Realty. CWCapital represented debt vehicles including ML-CFC 2007-6, Wachovia 2007-C30, Wachovia 2007-C31 and COBALT 2007-C2.
CWCapital has controlled the complex on behalf of lenders since 2010.
The property sold in 2006 for $5.4 billion to Tishman Speyer and BlackRock, who used mostly debt and money from pension funds and other investors. In 2010, the new owners defaulted on their loans. CWCapital took over on behalf of trusts that have a $3 billion mortgage on the property. This year CWCapital announced it would foreclose on the property and conduct a sale. However, the firm canceled the auction and exercised a deed in lieu of foreclosure.
In taking title to the property, the company paid more than $130 million in city and state taxes and thwarted an outside investor from seizing the complex, according to a separate report from The New York Times.
In May, rumors broke that Fortress Investment Group, which owns CWCapital, planned to buy Stuyvesant Town for up to $4.7 billion. According to published reports, Fortress planned to bring in additional equity partners to fund the purchase.
CWCapital said that it still plans to “evaluate disposition alternatives in the latter half of 2014.”
The complex was built on 80 acres between 14th and 23rd streets, east of First Avenue, in 1945. The total units comprise of 110 buildings, totaling 10.2 billion square feet.
