Farrell and Moore of Savanna negotiate $66.2 million refinance of 434 Broadway

434 Broadway - Manhattan, NY

New York, NY Savanna, a New York City-based, vertically-integrated real estate investment manager, owner/operator and developer, has closed a $66.2 million refinancing for 434 Broadway, a nine-story, 65,700 s/f mixed-use property in SoHo.  The new loan with Deutsche Bank’s Special Situations Group (SSG) replaces a prior acquisition loan from Mesa West Real Estate.

“We are pleased to work with Deutsche Bank on this transaction and to have this institutional acknowledgement of the investment we have made to enhance this historic building through capital improvements and formidable leasing success,” said Tom Farrell, managing director, Savanna.

Savanna purchased 434 Broadway (at Howard St.), which dates back to 1910, in 2013. Since then, Savanna has executed $7 million in base building and cosmetic capital work at the property.  In addition, Savanna has leased 21,690 s/f of office space since acquiring the property.  Major transactions include an expansion for media company Technicolor, and welcoming new tenants such as venture capital firm General Catalyst and digital agency UENO.  Currently, Savanna is constructing pre-builts on its two remaining floors, and marketing its 5,650 s/f ground-floor retail space.

The loan was handled by Farrell and Ian Moore, senior analyst, at Savanna.

Savanna, formed in 1992, is a vertically-integrated real estate investment manager and institutional fiduciary based in New York City and focused on strategic property investments throughout the city’s five boroughs. The firm, led by managing partners Christopher Schlank and Nicholas Bienstock, pursues real estate equity and debt asset investments, including ground-up development and major repositioning projects. Savanna’s equity investments target superior risk-adjusted returns by adding value through asset management and/or property development, redevelopment, and repositioning, deploying a team of 35 experienced investment, asset management, construction, and leasing professionals.  Savanna selectively invests in real estate debt instruments that have the potential to generate equity-like returns, including preferred equity instruments, high yield bridge and mezzanine loans, and B-notes. Since 2006, Savanna has invested over $3 billion in total capital across nearly 14 million s/f of real property.