MAG Partners says it has secured a $173 million construction loan from Madison Realty Capital that will allow work to commence in November on a 479-unit rental residential building at 241 W. 28th Street in Chelsea.
The project will be developed under the Affordable NY program with 30 percent of its units reserved for low- and middle-income New Yorkers. Architect COOKFOX designed the building.
The project is a joint venture between MAG Partners, Safanad, Atalaya Capital Management and Australian asset manager Qualitas.
“As true believers in the future of New York City, we are thrilled to be able to begin construction on this innovative project that will bring mixed-income housing and hundreds of jobs at a critical time for the City,” MaryAnne Gilmartin, founder and CEO of MAG Partners said in a statement. “This is an incredibly desirable location as major tech companies continue to sign big leases within walking distance, and we expect to see very strong long-term demand for this property when it opens in 2022.”
MAG Partners acquired the site in December 2018 through a 99-year ground-lease with Edison Properties. The development is expected to be complete in late 2022.