This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Starwood Property Trust Leads Origination Of $475 Million Construction Loan To Finance Phase One Of Related Companies And Oxford Property Group's Hudson Yards Development

GREENWICH, Conn., April 10, 2013 /PRNewswire/ --  Starwood Property Trust (NYSE: STWD) today announced that it led the origination of a $475 million first mortgage and mezzanine loan for phase one of Related Companies and Oxford Properties Groups' Hudson Yards Project (the "Project"). Starwood will provide $350 million in funding and the remainder will be contributed by Oxford Properties Group and the United Brotherhood of Carpenters and Joiners.

The loan will help finance the development of the development's 1.7 million square foot South Tower located on Manhattan's West Side. The interest rate floats over LIBOR and the loan matures in four years with a one-year extension option.

"The Hudson Yards loan represents another example of our ability to attract highly respected sponsors seeking to leverage our industry leading experience and flexible financing solutions for large, complex transactions," said Boyd Fellows, President and Director of Starwood Property Trust. "We are excited to have Starwood Property Trust's name attached to one of New York City's most important and transformational development projects."

Jeff T Blau, Chief Executive Officer of Related Companies said, "We are thrilled to have Starwood Property Trust as our lead lender for the first tower at Hudson Yards. The show of confidence from such an elite lender is testament to the strength of Related and Oxford and the compelling development we are creating at Hudson Yards. Hudson Yards is a transformative development that will forever change the skyline of New York.  The team at Starwood showed impressive deal acumen proving to be both sophisticated and flexible. We look forward to working with Starwood on future phases of the project should the opportunity present itself."

Situated on the northwest corner of 30th Street and 10th Avenue, the South Tower is the first vertical development in what will ultimately be the largest private master planned development in New York City history. Currently under construction with occupancy slated for 2015, the 47-story South Tower will be home to a number of leading brands including Coach Inc., L'Oreal USA and SAP. Altogether, the 26-acre site that constitutes Hudson Yards will contain over 13 million square feet of office, residential, and retail space. The Project will also include 14 acres of open space and parks.

Strategically located in an area with easy access to public transportation, the West Side Highway, and the Lincoln Tunnel, Hudson Yards is the centerpiece of a rapidly transforming neighborhood at the intersection of Midtown and Chelsea. Over $4 billion of local public infrastructure investment is underway, including an extension of the #7 subway from its current terminus at Times Square to a new station between 10th and 11th avenues at West 34th Street. Additionally, plans are underway to create a new cultural facility called the Culture Shed designed by Diller Scofidio + Renfro and the Rockwell Group.

Other high-profile investors involved in phase one of the development include Oxford Properties Group, Coach Inc., institutional investors advised by J.P. Morgan Asset Management, and member organizations of the United Brotherhood of Carpenters and Joiners.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,776.12 -200.19 -1.11%
S&P 500 2,067.89 -18.35 -0.88%
NASDAQ 4,900.8850 -46.5560 -0.94%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs