550 West 21st Street, West Chelsea, New York, October 4, 2025
News Summary
Legion Investment Group, with partner AVRS Partners LP, closed a $155 million construction loan to restart work at 550 West 21st Street in West Chelsea. On-site activity includes concrete pours, equipment deliveries and trailers as crews prepare the building’s first story. The planned waterfront condominium will sit between major green spaces overlooking the Hudson River Greenway; reports differ on scope, citing 20–23 stories and roughly 75–83 units. The developer is targeting a mid-year completion, has retained a luxury marketing team, and is pursuing a modest density increase tied to a roughly $7.8 million contribution to local affordable housing. Several key project details remain unconfirmed.
Legion Investment Group Secures $155M Construction Loan for 550 W. 21st St.; On‑Site Work Resumes as Unit and Height Counts Vary
A new construction loan of $155 million has closed for the waterfront site at 550 West 21st Street in West Chelsea, allowing major on‑site activity to resume. The financing, provided by Eldridge Real Estate Credit, backs a condominium project led by Legion Investment Group with partner AVRS Partners LP. Visible progress at the site includes recent concrete superstructure pours, arrival of construction equipment and trailers, and crews preparing to form the first story.
Key financing and developer details
The construction loan comes from a real estate lending strategy affiliated with Eldridge Capital Management. The project developer, run by its founder and CEO, completed the land purchase out of bankruptcy roughly a year and a half ago for $87 million. That acquisition was financed in part with a $56 million loan from a major bank. The developer describes the site as a rare waterfront opportunity with direct river access and unobstructed views.
Project scope and on‑site status
The planned development is a condominium building at the corner of West 21st Street and the Hudson River Greenway, positioned between two prominent linear parks and across from a large pier and sports complex on the riverfront. The plot measures roughly half an acre.
Construction crews have carried out concrete pours since late September. Observers report bundles of materials and new trailers on site as teams prepare vertical work and form the building’s first story. A printed construction‑board diagram posted at the site shows an L‑shaped massing with stepped cutouts above a multi‑story podium, but no finalized architectural renderings have been released and no architect has been publicly announced.
Conflicting details on height and unit count
Public reporting includes differing accounts of the building’s final size. Several sources cite a 23‑story tower delivering 83 condominiums, while others describe a 20‑story structure with 75 condominiums. Square‑footage estimates also vary: one buildable envelope is described at approximately 172,000 square feet, whereas an earlier plan by a prior owner approached nearly 200,000 square feet. The developer has discussed a plan to add about 11,000 square feet to the project in exchange for a roughly $7.8 million contribution to a local affordable housing fund; this would increase the overall scope if approved.
Timing, sales and approvals
Completion timelines vary across reports: expected delivery has been described as around mid‑2027 or specifically in July 2027. A national marketing firm has been retained to lead sales and marketing, with sales launches anticipated next year. At the time of the latest activity, crews were preparing to lift the building above its podium in the coming weeks.
Property history and prior developer
The parcel was previously controlled by a different developer that built a ground‑floor slab for a proposed 20‑story condominium but then entered bankruptcy after financing collapsed. That earlier effort reported a projected sellout in the hundreds of millions and carried substantial debt. The current owner acquired the project out of that bankruptcy, paying about $87 million and using a $56 million acquisition loan.
Market context and nearby projects
The Manhattan west‑side condo market has shown strong demand and a relative scarcity of new downtown condominium product. Nearby high‑end projects have posted multibillion‑dollar sales tallies and recent condo launches in the area are limited, particularly for developments larger than 100 units. The site’s proximity to major greenways, riverside recreation and elevated park space places it in a highly sought neighborhood.
Other activity by the developer
The developer has been active across Manhattan in recent deals, including several high‑profile land buys and other construction financings for luxury condo projects, indicating a broader expansion strategy in the city.
Separate local housing redevelopment update
In related neighborhood redevelopment news, residents of two public housing campuses in Chelsea are publicly opposing a plan to demolish and rebuild their buildings. The combined campus contains about 2,056 apartments. The housing authority has outlined a plan to replace all existing apartments and add new units, offering current residents a formal right to return to apartments equal in size to their current homes. Officials say some initial replacement construction could begin late this year, with phased move‑ins for different campuses around 2028 and 2029. Residents and advocates continue to express concerns about extended disruption and interim relocations; roughly one hundred households have publicly protested the plans.
What remains unresolved
Key unresolved items include the final building height, the confirmed unit count, any updated massing after potential floor‑area bonus approvals, and the identity of the project architect. With active mobilization on site and the new construction loan in place, more concrete program details and marketing materials are expected as vertical construction progresses.
Frequently Asked Questions
What financing closed for 550 West 21st Street?
The project secured a $155 million construction loan from a real estate lending arm affiliated with a private investment firm, enabling on‑site work to continue.
Who is developing the site?
The property is being developed by a Manhattan investment firm in partnership with AVRS Partners LP; the firm’s founder and CEO is leading the effort.
How many homes and how tall will the building be?
Reporting varies. Some accounts list 83 condominiums across 23 stories, while others describe 75 condominiums in a 20‑story building. Final numbers have not been publicly confirmed.
When is the project expected to be completed?
Completion windows mentioned range from mid‑2027 to July 2027. Sales and marketing activity is planned to begin next year.
Will the project include affordable housing or a community contribution?
The developer has proposed adding roughly 11,000 square feet in exchange for a contribution of about $7.8 million to a local affordable housing fund, pending approval.
How does this relate to nearby public housing plans?
Separate redevelopment plans for two nearby public housing campuses would demolish and replace existing buildings to create new and additional apartments. Those plans have prompted resident protests and concern about long relocation timelines.
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Project snapshot — key features
| Feature | Detail |
|---|---|
| Address | 550 West 21st Street, West Chelsea |
| Developer | Legion Investment Group (partnered with AVRS Partners LP) |
| Construction lender | Eldridge Real Estate Credit (affiliated strategy) |
| Loan amount | $155,000,000 |
| Site size | Approximately 0.5 acre |
| Reported heights | 20 stories (alternate reporting) or 23 stories (alternate reporting) |
| Reported unit counts | 75 condos (alternate) or 83 condos (alternate) |
| Buildable area | Reported ~172,000 sq ft; prior plan nearly 200,000 sq ft |
| Acquisition price | ~$87,000,000 (acquired out of bankruptcy) |
| Acquisition financing | $56,000,000 loan from a major bank |
| Expected delivery | Mid‑2027 / July 2027 (varied reports) |
| Sales & marketing | National marketing firm retained; sales expected to launch next year |
| Transit | Near subway services at 23rd Street and Eighth Avenue (C & E lines) |
| Nearby context | Between two major linear parks and across from a riverside pier complex |
| Affordable housing mitigation | Potential 11,000 sq ft addition in exchange for ~$7.8M contribution |
Deeper Dive: News & Info About This Topic
Additional Resources
- ConnectCRE — West Chelsea condo project scores $155M construction financing
- Wikipedia: 550 West 21st Street
- The Real Deal — Legion nabs $155M construction loan for West Chelsea condos
- Google Search: Legion Investment Group 550 West 21st
- New York YIMBY — 550 West 21st Street resumes construction in West Chelsea
- Google Scholar: West Chelsea 550 West 21st
- The New York Times — Chelsea arts building
- Encyclopedia Britannica: Chelsea art building New York
- Artforum — Artists face displacement as iconic Chelsea art building goes on block
- Google News: Chelsea art building sale Elizabeth Foundation
Author: Construction TX News
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