MetLife provides $330m on new Bronx mall

Mall at Bay Plaza, the first indoor, enclosed mall to open in New York City in four decades, has secured one of the largest commercial real estate loans to ever hit the Bronx.

Mall at Bay Plaza, the first indoor, enclosed mall to open in New York City in four decades, has secured one of the largest commercial real estate loans to ever hit the Bronx.

Life insurance company and lender MetLife provided a $330m loan to refinance the existing debt on the Mall at Bay Plaza, a 780,000 sq ft retail center.

mall-at-bay-plaza2The new 10-year loan from MetLife carries a loan-to-value to value around 60% based on the estimated $550m value of the mall, sources familiar with the deal confirmed.

It is one of, if not the, largest loans ever in the Bronx, the closest on record being a $210m loan placed on the Bay Plaza Community Center in December of 2012, according to data and research firm Real Capital Analytics.

It took developer Prestige Properties & Development Co. two years and $300m in construction and development costs to build the three-story mall, which opened last summer with original financial backing from Bank of America.

The BOA financing included a $56m acquisition loan in August of 2012 and an additional infusion of at least $130m in March of last year to complete the construction, city property records show.

The property includes a 160,000 sq ft Macy’s, the first location that the retailer has opened in the city in  15 years, a JC Penney and more than 100 additional retail shops, including H&M, Ulta, Victoria’s Secret, Kay Jewelers and the Gap.

It is located in the Baychester section of the Bronx, at the intersection of Interstate 95 and the Hutchinson River Parkway.

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