Tishman Speyer received a loan to build apartments on his new Santa Monica property. The only true have learned.
The New York-based developer received a $228 million loan from the Blackstone Mortgage Trust to build 620 apartments on eight lots that Tishman bought in January, records show. The debt was provided in January but was previously unreported. Blackstone declined to comment.
Blackstone Mortgage Trust provided the loan through Husky Finco, a limited liability company affiliated with the REIT.
WSC Communities — controlled by Neil Shekhter, his sons, and CEO Scott Walter — had 23 parcels on the market in Santa Monica last year. Tishman joined late last year and bought eight of the lots for around $150 million, prompting Shekhter to take the 15 remaining lots off the market.
Tishman announced in January that it would build new multi-family homes and 31,000 square feet of retail space at the eight locations — 116 of the units are classified as affordable.
The eight lots are: 1318 Lincoln Boulevard, 1430 Lincoln Boulevard, 1650 Lincoln Boulevard, 501 Broadway, 711 Colorado Avenue, 1313 6th Street, 1323 5th Street and 1338 5th Street.
The project will be the company’s first foray into residential real estate in Los Angeles.
It’s not the first time the two have worked together on financing deals. In 2018, Blackstone provided $1.8 billion in financing for Tishman Speyer’s 2.8 million square foot office building at Hudson Yards.
The lender, which focuses on providing loans for commercial real estate, including multi-family homes, has also funded other projects in Santa Monica. In 2019, Blackstone Mortgage Trust provided Redcar Properties with a $70.3 million loan related to six parcels along Michigan Avenue in Santa Monica, records show.