Citi Real Estate Funding provides $90 million to Weinberg Properties for recently redeveloped Pace Gallery
Weinberg Properties has secured a $90 million loan from Citi Real Estate Funding to refinance 540 West 25th Street in Chelsea. The recently developed mixed-use building spans 60,000 SF, and was built for Pace Gallery, a private contemporary art dealer.
Dig Deeper: Pace Gallery has leased the entire property under a triple-net lease through December 2038. They currently pay $112.66 per SF, which will increase by 3 percent annually. The entire project cost was $79.8 million, while Pace invested $18.2 million for the buildout, according to CO.
Financing details: The 10-year, interest-only loan replaces $58.3 million in debt provided by Shanghai Commercial Bank in 2016. It carries a rate of 5.15 percent.