Generational Residential Development Opportunity in Midtown Manhattan, NYC


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An eternal optimist, Liu-Yue built two social enterprises to help make the world a better place. Liu-Yue co-founded Oxstones Investment Club a searchable content platform and business tools for knowledge sharing and financial education. also provides investors with direct access to U.S. commercial real estate opportunities and other alternative investments. In addition, Liu-Yue also co-founded Cute Brands a cause-oriented character brand management and brand licensing company that creates social awareness on global issues and societal challenges through character creations. Prior to his entrepreneurial endeavors, Liu-Yue worked as an Executive Associate at M&T Bank in the Structured Real Estate Finance Group where he worked with senior management on multiple bank-wide risk management projects. He also had a dual role as a commercial banker advising UHNWIs and family offices on investments, credit, and banking needs while focused on residential CRE, infrastructure development, and affordable housing projects. Prior to M&T, he held a number of positions in Latin American equities and bonds investment groups at SBC Warburg Dillon Read (Swiss Bank), OFFITBANK (the wealth management division of Wachovia Bank), and in small cap equities at Steinberg Priest Capital Management (family office). Liu-Yue has an MBA specializing in investment management and strategy from Georgetown University and a Bachelor of Science in Finance and Marketing from Stern School of Business at NYU. He also completed graduate studies in international management at the University of Oxford, Trinity College.

Projected Capital Structure: $528MM ($317MM Equity / $211MM Debt LTC 40%) ** Currently All Self-Funded Equity **

270K zsf, 60 x 100 / 121 units, 65 stories  

A large midtown east development with all due diligence, assemblage, planning completed, and currently in active construction is available for JV partnership.     

This project is off-market and currently funded with all equity by the developer.  This investment is significantly de-risked and as of February 2021 ninety-nine percent of the vertical construction has been completed.  There is a unique opportunity to buy-in to an actively constructed development project and invest directly with a NYC commercial real estate expert who is willing to customize an appropriate risk-reward investment return for the right partner.  The sponsor is a multi-generational NYC real estate family with a successful long-term track record, local expertise, and the financial capacity to complete the development.  The developer has already invested $300MM into this project.  The sponsor has the ability to obtain construction financing at Libor + 175bps, and at the appropriate time will use financing to lever investor returns.    

The Property is located in an exclusive section of midtown Manhattan where there is strong demand for new development product.  This development will have superior air and light amenities over existing and future buildings in midtown east side due to new laws that severely restrict height limits on future developments.  The as-of-rights for this Property benefits from grandfathered zoning which makes this large development the last of-its-kind.

This is a high quality off-market private equity commercial real estate investment opportunity to build family-size luxury residential condos (121 units) in a unique midtown location where there has been no new development.  A world class architect is involved in the project and will create a timeless one-of-a-kind luxury residential tower.  This iconic tower will have incredible unobstructed views of the NYC skyline, water views, and central park.  Located in an exclusive neighborhood that offers secluded quiet residential ambiance while just a few walking blocks to mass transit.  This luxury residential tower will likely become the new standard for New York luxury residential living.

Acquisition Phase Completed

The developer has full control of this once-in-a-generation development site located in an exclusive neighborhood of midtown Manhattan at a significant price below market value.   

Development and Planning Phase Completed

270k zsf / 235k nsf, large floor plates (60×100) and 121 family-size luxury units, 65 story luxury residential tower

Construction Phase Currently Active

The site is under active construction.  Significant development work has already been completed including contract execution for 99% of the construction costs, and vertical construction through 65th floor out of 65 floors as of February 2021.  There is only 15 months remaining from the original 31 months for TCO. 

Using conservative future projections and significant discounts to current market comps we project the following:

  • Best Case Profit $475M, Net Margins: 47%, Break-Even: $2,248 nsf / IRR 38%, ERM 2.3x
  • Base Case Profit $364M, Net Margins: 41%, Break-Even: $2,248 nsf / IRR 24%, ERM 1.7x
  • Worst Case Profit $252M, Net Margins: 32%, Break-Even: $2,248 nsf / IRR 7%, ERM 1.2x

Oxstones Real Estate

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