Sunday, November 14, 2010

Hotel to be built Debt Free in New York City

The new hostelry is being developed with financial backing from Brack Capital Real Estate, which was behind the recently opened James New York Hotel in SoHo. The project is being funded with $50 million in equity coming directly from Brack Capital, as well as from private investors. There will be no debt used.
Brack recently purchased 218-222 W. 50th St. for an undisclosed price and entered into a 99-year ground lease with a partner—a company that has developed several hotels in Europe and wishes to remain unnamed—to develop the 78,000-square-foot hotel. The site is currently occupied by a parking garage.

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