Gary Barnett’s Extell Development has secured a $96 million loan from Natixis Real Estate Capital for the development of three parcels of adjacent land on West 66th Street in Manhattan, the Commercial Observer has reported. The development site includes the current home of synagogue Congregation Habonim at 44 West 66th Street, which Extell acquired recently for $45 million.
The loan was for 18 months with an option for a six month extension. Part of the funds borrowed will be used to retire some of the debt that was accrued when the lots were first purchased.
Back in April Extell contracted to purchase 44 West 66th Street, between Central Park West and Columbus Avenue, which came with 75, 000 square feet of development rights. The firm will partner with Megalith Capital Management to build a new a large condominium tower there.
Habonim will also have a $30 million share in the project, including its new location, leaving it a total of $75 million from the sale of its building. The synagogue expects to open its new home by 2019.
The other parcels included in the development site are located at at 36-40 West 66th Street and have a total of 74, 880 square feet of development rights.
No details of the new building have been revealed yet, but it could have up to 180, 000 square feet of space. If Extell acquires another neighboring parcel owned by the nonprofit Jewish Guild Healthcare then it could go up to as much as 400, 000 square feet. Any plans must first be approved by both the New York State Attorney General and State Supreme Court.