Cannon Hill Capital and its partners refinanced their Netflix-leased Union Square office building to the tune of $130 million.
DekaBank and Crédit Agricole provided the financing for 888 Broadway, the owner told The Real Deal.
In addition to Netflix, the 220,000-square-foot building — which includes an annex next door at 38 East 19th Street — is home to the software company Atlassian. The retail is leased to ABC Home & Carpet and a trio of restaurants run by Jean-Georges.
Williams Equities’ Michael Cohen, who joined Cannon Hill and Eyal Ofer’s Global Holdings in recapitalizing the property earlier this year, said 888 Broadway “is a standout example of how well-positioned, pre-war, Midtown South buildings continue to be attractive investments.”
Cannon Hill Capital, led by CEO Jeff Gronning, acquired 888 Broadway through its 2022 acquisition of Normandy Real Estate Partners, which paid $133 million to buy the property in 2017.
Earlier this year in February, Cannon Hill brought Global Holdings into the deal along with William Equities, which contributed its fee position in the ground underneath 38 East 19th Street to the partnership.
Elsewhere, Cannon Hill last year sold the distressed office building at 799 Broadway in Greenwich Village that it owned with Pimco for $255 million to Savanna.
Global Holdings in July announced it will be developing an Anagram-branded 158-unit apartment building in Gowanus at 450 Union Street.
And Williams Equities in January bought a 300,000-square-foot office building at 470 Park Avenue for $147.5 million — a 40 percent discount from the last time the property traded in 2018.
Read more
Cannon Hill recaps $200M at 888 Broadway, Netflix’s NYC office
Normandy lands SL Green loan for ABC Carpet & Home redevelopment
Savanna buys Columbia Property Trust’s distressed 799 Broadway
