Rotem Rosen just locked in a $200 million shot of financing to carry Malabar Residences across the finish line as the 29-story condo tower on Manhattan's East 57th Street closes in on completion. The loan gives the developer breathing room to wrap interiors and hold unsold units as sales ramp up. The building at 126 East 57th Street is set to deliver about 145 condos, from studios up to three-bedrooms.
MRR Development, the partnership led by Rosen and Anand Mahindra, secured the $200 million condo-inventory loan from BHI, the U.S. arm of Bank Hapoalim, according to The Real Deal. The new debt replaces a $170 million construction loan from Bank OZK and is meant to carry the project through delivery and the initial sales push. The outlet also reported that Rosen's team paid about $100 million in 2019 for the 13-parcel assemblage that anchors the site and is projecting unit prices from roughly $1.36 million up to $13.5 million.
Douglas Elliman To Run Sales
Sales at Malabar are set to be handled exclusively by Douglas Elliman, with top broker Noble Black leading the charge, according to Douglas Elliman Development Marketing. The firm said it is targeting a sales launch this summer, with closings planned to begin the following year.
The brokerage is pitching the project squarely at high-end buyers, leaning on private terraces and a full suite of amenities to stand out in a crowded luxury field. With the inventory loan in place, the team has room to pace sales instead of rushing to move every unit the moment doors open.
BHI's Manhattan Push
BHI's decision to step up with a sizable inventory facility fits a broader pattern of the lender wading deeper into New York City projects, according to Commercial Observer. The outlet reported that BHI recently provided about $169.5 million for an office-to-residential conversion at 767 Third Avenue and has been increasingly active on construction and bridge loans across Manhattan.
That track record helps explain why BHI would back a late-stage luxury condo tower with an inventory loan, effectively betting that there is still enough depth in Manhattan's high-end buyer pool to absorb Malabar's units at premium prices.
Where The Building Stands
Industry trackers say the project is inching toward a temporary certificate of occupancy as crews shift from exterior work to interiors and model units. New York YIMBY recently reported that the ground level is still wrapped, although most of the facade is in place and interior work is progressing. Early listings on CityRealty show the first hints of marketing activity, with a limited number of units quietly available for preview before the broader rollout.
The timing gives Rosen some strategic flexibility. He has already raised additional capital, including roughly $135 million in Israeli bond financing for other projects, according to The Real Deal. With the new inventory loan secured and Douglas Elliman in charge of sales, Malabar's team can decide how quickly to release units as Midtown's luxury corridor absorbs fresh product. Observers say the next stretch, from final punch-list work to those first signed contracts, will reveal whether buyers are willing to meet the building's high-end pricing in the current market.
