Trending

HAP locks in $235M construction loan for Chelsea rental-condo

Subsidiary of Japan's largest homebuilder provided financing for the two-building complex

HAP Investments scored a $235 million construction loan for its two-building, rental-condominium development in Chelsea, sources told The Real Deal.

Daiwa House Texas, a U.S. subsidiary of Japan’s largest homebuilder Daiwa House Group, provided the financing for the project at 215-227 West 28th Street, said sources familiar with the deal. In addition to a senior loan, Daiwa provided mezzanine and joint-venture equity in the deal, sources added.

Daiwa also provided $42 million in acquisition and predevelopment financing for one of the parcels last year.

HAP spent more than $76 million assembling the site and filed plans for the first building in 2014 and then the second one last year. The Department of Buildings approved the plans, most recently for the second building on Oct. 12, records show.

Sign Up for the undefined Newsletter

Plans call for a pair of 20-story buildings with 122 condos and 120 rental units. The complex, pegged at a construction cost of $387 million, would span a total of 300,000 square feet. DXA Studio, which replaced frequent HAP collaborator Karim Rashid, is the architect.

A Carlton Group team led by Howard Michaels and Jonathan Rosner brokered the deal. Carlton said it recently brokered a $235 million construction loan in Chelsea, but declined to comment further.

Representatives for HAP and Daiwa could not be immediately reached for comment.

HAP, the Midtown East-based development firm led by Eran Polack, Amir Hasid and Nir Amsel, has been active in Harlem and is developing a 42-story mixed-use tower in Jersey City. An Israeli court ruled in September that Polack lied about being a victim of a $10 million diamond heist.

Recommended For You