|
|
Article: $224 M. Drake Hotel Site Mortgage Up For Sale.
- Article from:
- The New York Observer (New York, NY)
- Article date:
- November 11, 2008
CopyrightCOPYRIGHT 2008 The New York Observer. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
In an apparent effort to raise cash, the struggling iStar Financial has put its $224 million Drake Hotel site mortgage on the block, according to a knowledgeable source.
"They're a mortgage REIT and they need cash," said the source. "The development is not going anywhere today. It's in default. It's not paying interest currently."
The development site in question is the plot bounded by 56th and 57th streets and Park Avenue, once home to the Drake Hotel. Macklowe Properties has long had plans to erect some sort of tower there--reports bounce back and forth between residential and office tower plans. Either way, the project looks increasingly unlikely to materialize. ...