Apollo Writes Off Junior Loan, Luxury NYC Tower at 111 West 57th Street Sees Slow Sales
Apollo Commercial Real Estate Finance, the real estate investment trust arm of Apollo Global Management, has written off a junior mezzanine B loan at 111 West 57th Street in Midtown West, resulting in an $82 million hit for the REIT. The write-off is attributed to slower-than-expected unit sales at the luxury tower, which is the second-tallest residential building in the Western Hemisphere. The developers, JDS Development Group and Property Markets Group, have not commented on the situation. The luxury market in Manhattan has been facing challenges, with sales down nearly 40% year-over-year in the second quarter.