Cain International secured $207 million in financing to purchase and redevelop the the iconic Hudson Hotel in New York. Trade Observer can report first. Parkview Financial provided the loan with Montgomery Street Partners.
Meridian Capital Group brokered the transaction with its New York team led by Morris Betesh and Alex Baikin.
The 385,124-square-foot, 24-story building is located at 356 West 58th Street. The hotel was closed in 2020 due to Covid, but Cain plans to convert the property into a 438-unit residential project with office and commercial space, according to a statement from Parkview.
Units will feature 8-10 foot high ceilings, hardwood floors, stainless steel appliances and quartz countertops, and each unit will have built-in washer/dryers. There will also be 30,000 square feet of retail space and 25,000 square feet of office space. The project is expected to be completed in early 2023.
“It’s such an iconic hotel. We got excited because of the location and the story, and we had a great sponsor,” said Paul Rahimian, CEO and Founder of Parkview Financial. “With a smaller unit size, the sponsor plans to market the units at a 20% discount to other nearby properties, hoping to attract young professionals, students and small families who enjoy the prime location, first-rate amenities and unit interiors with high-end finishes at below-market prices.
Situated on a 0.68 acre parcel of land, 356 West 58th Street was originally built in 1929 as the clubhouse and residence for young women of the American Women’s Association. In 1941 it was converted to the Henry Hudson Hotel, and in 1997 the hotel was purchased by the Morgan Hotel Group and renovated for use as the Hudson New York Hotel.
Officials at Cain International and Montgomery Street Partners did not immediately respond to requests for comment.
Emily Fu can be reached at [email protected].