nking Berhad was one of the lead arrangers on a $174 million construction loan for Sharif El-Gamal’s 45 Park Place.
Despite these major deals, the relationship Asian lenders have with New York’s market is still all about one-offs, observers said.
“The whole platform is still very scattered,” said Adi Chugh, CEO of debt brokerage Maverick Commercial Properties. If you look at the U.S. players, the Blackstones, the BlackRocks, they know how to source deals.” The Chinese, in contrast, are yet to establish a platform to consistently provide capital to New York investors and developers, Chugh said, “but they’ve evolved from where they started, and they have the appetite and ability to write really big checks.”
Some of the bigger players are also taking on local New York community banks head-on in the smaller loan space. Bank of China, for example, has launched a new program focused on loans in the sub-$30 million range, sources said.
And as concerns about the vulnerability of China’s local markets continue to heat up, these banks may look to compensate by doing even more business abroad.
(Paydirt is a weekly column that riffs on the biggest NYC real estate news of the moment, providing analysis and historical context on the deals and players that make this town tick. Read more from Paydirt here.)
Tags: chinese buyers, Chinese Developers, wework
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