The biggest troubled deal with the Manhattan pandemic has just been reached for $ 175 million.
Isaac Hera’s investment in Yellowstone Real Estate Investments bought the 600-room Watson Hotel at 440 West 57th Street, according to Bloomberg News.
Yellowstone bought rental property and a mortgage held by HSBC, which bought the loan after Richard Born and Ira Drukier BD Hotels default last year.
“Watson represents a unique and rare opportunity for us to gain significant scale on West 57th Street,” Hera wrote in an email to the publication. “We strongly believe in the power of the American market as a whole and the New York market in particular.”
The loan, which financed the hotel’s land lease, had an unpaid principal of $ 33.9 million. Eastdil Secured has launched a loan.
Investors have been waiting since the beginning of the pandemic to trade in a large number of desperate hotels, but the wave of default has not yet materialized. The Yellowstone Agreement is the largest in New York since the billionaire Reuben brothers paid $ 150 million late last year for the Surrey Hotel.
[Bloomberg News] – Rich Bockmann