Gary Barnett secured another refinancing for his banner development at 570 Fifth Avenue
JPMorgan Chase provided Extell Development with $417 million to refinance the project, PincusCo reported. The development site comprises more than a dozen properties assembled by the New York City skyline shaper.
The deal, which closed on March 20, replaces a $340 million loan issued less than two years ago.
Neither the borrower nor the lender immediately responded to requests for comment from The Real Deal.
Global law firm Simpson Thacher & Bartlett was reported last summer to be poised to take roughly 700,000 square feet to anchor the Midtown development, which is sometimes referred to as 576 Fifth Avenue. The deal was one of the biggest in Manhattan’s office leasing market last year.
Extell’s plan for the site — between West 46th and 47th streets — evolved from a proposed supertall into a 29-story office-and-retail tower. Ikea, through Ingka Investments, is set to anchor the retail component with 80,000 square feet and a one-third stake in the full project.
In 2021, Extell filed plans for a 78-story mixed-use tower with more than 1,500 hotel rooms and nearly 500 apartments at the same site. But the developer ultimately doubled down on the office play and secured financing from South Korea’s IGIS Asset Management to move forward.
JPMorgan Chase served as lender in February 2020 with $340 million; IGIS acquired the remaining $185 million balance on the loan in 2023. IGIS later provided the refinancing with $9.3 million in new debt in July 2024.
The developer completed a $175 million land buy last year to round out the necessary assemblage. Delivery of the KPF-designed tower is expected by the end of 2028.
Despite the relative quiet at 570 Fifth, Barnett’s been busy this year. In January, he signed a contract to purchase a development site at 405-415 Park Avenue, air rights from Central Synagogue and was negotiating to acquire an adjacent office building at 110 East 55th Street.
Sellers were seeking north of $500 million for the Park Avenue portion, which, with additional air rights, can support up to 700,000 square feet of rentable office space.
— Holden Walter-Warner
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Extell finds anchor tenant for 570 Fifth Ave
South Korea’s IGIS is lender on Extell’s 570 Fifth Ave
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