Madison Realty backs East Harlem development

The $60m loan will go toward the development of a condominium tower in the Manhattan neighborhood.

Madison Realty Capital has provided a $60 million loan to Heritage Real Estate Partners for the development of a condominium tower being built in Manhattan's East Harlem neighborhood,  PDI sister title Real Estate Capital  has learned.

The plans at 1399 Park Avenue, between East 103 and East 104 Streets, call for a 23-story, 94,000 sq ft building with 72 condo units – a diversion from the 108 rentals originally planned. It will reportedly accommodate 20,000 sq ft of ground floor community space and a 54-car parking garage. The working name for the development is “Terrace on the Park,” as it sits two avenues east of Central Park.

Heritage acquired the lot in December of 2014 for $12 million, the property records show.

Madison Realty Capital was not available to comment on the deal or the loan's terms in time for publication, but documents show that the loan is broken down into a $42.9 million building mortgage, a $10.5 project mortgage, and an additional $6.6 million in debt.

The firm has been active across the New York City area both on the buy and lending sides. Earlier this month, the company purchased a mixed-used tower at 160 East 48th Street for $270 million with equity partner USAA Real Estate.