When finished, the New York Wheel is set to be the tallest observation wheel in the world, and the only one in New York City. Meredith J. Kane, co-chair of the Real Estate Department at Paul Weiss, advised New York Wheel LLC on the financing for the development of the wheel, which is scheduled to break ground soon in Staten Island.
Part of the St. George Waterfront Redevelopment Project, the wheel is being built on a New York City-owned site adjacent to the Staten Island Ferry and the Richmond County Bank Ballpark. New York Wheel LLC will invest approximately $500 million to complete the project, which will create an anticipated 419 construction jobs and 426 permanent jobs. The wheel is scheduled to be completed in early 2017, according to the company.
“A highlight of my year is closing the $500 million debt and equity financing for the development of New York Wheel, the 600-foot-high observation wheel being built on the North Shore of Staten Island,” Kane told WIPL. “The financing was a challenge due to the unique nature of the project and its complicated construction process–it is a hybrid of a project financing and a real estate financing. I am thrilled to be part of creating a fabulous, fun and job-generating new attraction on the city skyline.”
The wheel will accommodate up to 1,440 people per ride. New York Wheel LLC said it is anticipating more than 4 million visitors every year. As part of a separate project, a new retail complex and hotel is being built on two sites adjacent to the Richmond County Bank Ballpark.
Along with Kane, real estate partner Mitchell Berg and counsel Barry Langman advised on the deal.
Based in New York, Kane is a member of the firm’s management committee. She regularly represents developers, equity investors, institutional and entrepreneurial owners and government agencies in all aspects of development, finance, acquisitions and sales, equity joint ventures, restructuring, leasing and securitization of real estate.