Brookfield Asset Management has placed a $240m construction loan on 180 Water Street in Downtown Manhattan, where Emmes Asset Management is converting a 25-story, 476,000 sq ft office building into a multifamily residential property.
Brookfield will reportedly syndicate the loan and retain a mezzanine portion.
Emmes paid $151m for the black, glassy structure in July of 2013 backed by a $90m loan from Bank of America. The firm plans to convert the tower into 601 apartments following the scheduled departure and relocation of its final office tenant — the New York City government agency Human Resources Administration — into 4 World Trade Center this month.
The conversion will add seven stories (for a 32-story total) and 50 feet to the tower, meaning that the building will peak out at nearly 400 feet once the work is complete. There will be about 20 apartments per floor, with the additional square footage dedicated to mechanical systems, a lounge, recreation rooms and leasing offices.
New York-based Emmes owns commercial property in 19 US states and nearly 30 buildings across New York City. The portfolio includes neighboring 160 Water Street, which Emmes paid $165m for in March of last year with the help of a $99.6m loan from JPMorgan Chase Bank, National Association.
Brookfield Asset Management is a Canadian asset management company $200bn in assets under management.