Apollo lends $71M on a Tribeca storage-to-condo conversion

Apollo has provided $71 million in construction financing to convert a Tribeca self-storage building at 139 Franklin Street into luxury condos, the latest sign lenders will fund adaptive reuse when the product is scarce enough.

Why it matters

Office-to-resi gets the headlines, but the sharper conversion math is often in oddball assets, here a 10-story storage building becoming full-floor luxury homes in a submarket with almost no new supply. For developers, the deal shows debt is available for non-office conversions when the exit is ultra-prime: a joint venture of Broad Street Development and TPG Angelo Gordon is turning 74 storage units into as few as 18 large residences. It also reflects the broader conversion pipeline, up sharply nationally, where the winning projects convert the right building, not just any empty one. The Tribeca-loft comp set does the rest.

The numbers

Apollo Global Management affiliates originated the $71 million loan, arranged by JLL’s Michael Gigliotti and Aaron Niedermayer, on the 56,384-square-foot, 10-story property near Franklin, Varick and West Broadway. The developers bought the site from the Sofia family for $43.5 million in 2025. Plans call for up to 18 three- to five-bedroom condos with private outdoor space and wellness amenities, a full repositioning of a former 74-unit self-storage facility.

What’s next

Watch the per-unit pricing when 139 Franklin lists, the number that tells other sponsors whether storage-to-condo pencils beyond Tribeca’s rarefied comps. It is a different risk than the office conversions rattled by the recent Pfizer building scare. More at the New York hub.