Bank of China refinances Manhattan tower

New York-based real estate firm Eretz Group has refinanced the mortgage on its Midtown office tower at 295 Madison Avenue with a $59 million loan from Bank of China.

New York-based real estate firm Eretz Group has refinanced its Midtown office tower at 295 Madison Avenue with a $59 million loan from Bank of China, Real Estate Capital has learned based on city property records.

The company had paid $212.7 million for the Midtown Office tower with $110 million in financing from SL Green back in 2013, the records show.

64a9e68bea4f476f96d1f4d953fdccbbThe 46-story tower, on the southeast corner of Madison and East 41st Street, was part of a roughly $1 billion portfolio of properties that Westbrook Partners has divested over the last several years.

Westbrook, a Manhattan-based real estate investment firm, had owned the 300,000 sq ft property through a joint venture with the Moinian Group.

Bank of China’s investment in the property is the latest telltale sign of the continued influence of foreign investors, particularly from Asia, in the US and its largest cities — particularly, when the debt provided replaces financing from SL Green, a massive New York City landlord with a significant debt business in its own right, as profiled in Real Estate Capital this month.

Bank of China has been particularly active in recent months. Earlier this month the 601W Companies financed its $712 million acquisition of one of Chicago’s tallest skyscrapers, Aon Center, with $500 million in senior debt from the bank.

The bank also placed an $85 million mortgage on a recently redeveloped condo conversion at 165 East 66th Street on Manhattan’s Upper East Side, whose owners recently came under the scrutiny of the state’s Attorney General.

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