Axonic Capital, an alternative investment management firm specializing in structured credit and real estate debt and equity, has closed a fully funded $72 million senior loan to refinance the leasehold interest in 430 Park Avenue, a Class-A office property in Midtown Manhattan.
The floating-rate loan refinances existing senior debt and will fund future tenant rollover and repositioning costs, including a comprehensive lobby renovation. The loan was funded through Axonic’s affiliated insurance business.
430 Park Avenue is a 19-story, 295,900-square-foot property spanning the full block front between 55th and 56th Streets and is currently 99% leased to a diverse tenant roster spanning financial services, real estate, and law firms. The property is owned by a joint venture between Oestreicher Properties, Midwood Investment & Development Inc., and Marx Realty, which has owned the asset since its construction in 1954. Ackman Ziff arranged the transaction on behalf of the borrower.
KEY QUOTES:
As the demand for premier Manhattan office space accelerates, we continue to see opportunities to lend against high-quality office assets where long-term value is bolstered by strong tenancy, experienced sponsorship and attractive market dynamics. 430 Park Avenue checks every one of those boxes, exemplifying the type of financing situation Axonic finds most compelling — where the credit story is anchored by strong fundamentals and durable in-place cash flow, and we can structure financing that gives ownership the flexibility to continue creating value.
Erik Nygaard, Principal and Portfolio Manager, Axonic Capital
