Oxford Properties Group is aiming for between $150 million and $180 million in funding for its $277.5 million acquisition of the 313,283-square-foot Aalto 57 mixed-use tower in Manhattan, N.Y., the Commercial Observer reported, citing unnamed sources and an offering memorandum.
World Wide Group and Rose Associates are the sellers, with CBRE arranging the debt for Oxford, which is the real estate investment unit of the Toronto-based pension fund OMERS. Competition to provide the 55% to 65%, 10-year financing is "healthy," with commercial mortgage backed securities providers, life companies and Fannie Mae and Freddie Mac vying for the deal, the publication reported. The transaction is expected to close in March.
The debt will be secured by leasehold interests in 169 rental units, a 32,000-square-foot commercial podium leased to Bank of America and a 34,000-square-foot condominium leased to Whole Foods at the 1065 2nd Ave. property.
Neither Oxford Properties nor World Wide Group responded to requests for comment, while a spokesman for Rose Associates declined to comment, according to the publication.
