Legion Investment Group Secures $155M Construction Loan to Restart 550 West 21st Condo

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.

Construction resumes at 550 W. 21st St. after $155M loan closes; unit count and height remain unsettled

A major construction loan has closed and work is restarting at a waterfront West Chelsea site, where developers are moving to rebuild a stalled condominium project. The financing, a $155 million construction loan, supports development at 550 West 21st Street, and crews have been observed pouring concrete and mobilizing equipment on site as preparations continue to form the first residential level.

Topline: financing, developer and site activity

The construction loan was provided by a real estate credit arm of an investment firm and was secured by the developer Legion Investment Group with a local partner. Visible on-site activity includes ongoing concrete superstructure pours since late September, arrival of construction trailers, and staged material bundles, signaling that vertical work is expected to proceed in the coming weeks.

Unresolved building size and unit counts

Public reporting differs on the final building program. Some accounts list the project as a 23-story condominium with 83 units, while other observers tie the current plan to a prior 20-story scheme that would deliver approximately 75 units. Official marketing materials and final design filings have not yet resolved the discrepancy. A construction-board diagram on site shows an L-shaped massing with stepped cutouts above a multi-story podium, but no fully finalized renderings or an announced architect have been posted publicly.

Timeline, sales and project scope

Project timelines vary slightly across sources: the site lists an anticipated completion around July 2027 in one account, while other planning notes point to a mid‑2027 delivery window. Sales and marketing have been assigned to a well-known residential brokerage team, with pricing and an official launch expected next year. The developer has the ability under current entitlements to build up to roughly 172,000 square feet, and is reportedly seeking an additional 11,000 square feet in exchange for a $7.8 million contribution to a local affordable housing mitigation fund.

Site setting and amenities

The site sits on nearly a half-acre parcel between two major greenway corridors and is positioned to offer unobstructed river views and direct waterfront access. The property faces a well-known sports and recreation complex to the west and overlooks a major riverfront highway and pedestrian greenway. Transit access is nearby, with subway service a few blocks inland.

Acquisition and earlier project history

The parcel was acquired out of a bankruptcy sale for about $87 million. Acquisition bridge financing included a roughly $56 million loan used at the time of purchase. A prior developer had completed a ground-floor slab for a planned 20-story condominium before that project stalled and entered bankruptcy, carrying significant debt. The earlier plan had been larger in square footage, approaching nearly 200,000 square feet under its original concept.

Market context and nearby development

Demand for downtown west-side Manhattan condos remains strong, and new waterfront condo sites of this scale are rare. A number of nearby high-end residential projects have posted strong sales milestones, and local inventory of new condos is limited, particularly for large projects that will serve the downtown market. Competing nearby projects include both recently launched condo buildings and larger mixed-use developments that have been marketing units in recent years.

Developer activity beyond this site

The development group behind 550 West 21st Street has been active in Manhattan, completing recent site acquisitions and moving other luxury condo projects into vertical construction after securing construction financing. Those moves show a continued push into trophy‑scale residential work across several neighborhoods.

Related local housing story: public housing redevelopment

Separately, long-term redevelopment plans for two nearby public housing campuses are drawing community attention. The municipal authority plans to demolish and replace aging residential towers, together comprising over 2,000 apartments, with phased replacement buildings and some additional capacity. The agency says residents will receive rights to return and protections through the program, while some tenant groups remain concerned about temporary relocations and multi-year disruptions. The first replacement construction phase is slated to begin later this year, with staged move-ins starting in 2028 and 2029 under the current schedule.

Unresolved questions and next steps

Outstanding items include formal design release, final unit counts, the confirmed building height, and detailed construction milestones. Sales launch and pricing windows are expected to be announced ahead of marketing campaigns next year. Meanwhile, on-site activity and the recent construction loan together suggest a clear intent to move the project forward after years of delay.

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Key project facts

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 CA News

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