ZD Jasper Lands $90M Inventory Loan From Derby Copeland Capital for VITA Condos in Hell's Kitchen
ZD Jasper has secured a $90 million condominium inventory loan from Derby Copeland Capital for VITA, a two-building residential development in Manhattan's Hell's Kitchen neighborhood, according to an announcement dated Oct. 22, 2026 and published by Arrow Real Estate Advisors.
ZD Jasper Inventory Loan: Deal Details
The financing is a condominium inventory loan, a structure used to carry unsold units through a project's sales period. The loan is secured by 85 unsold condominium units at VITA and is expected to refinance or repay part of the project's earlier $117.5 million construction loan from Maxim Capital Group, which originated in 2023.
The borrower is ZD Jasper Realty, led by Jasper Wu. Derby Copeland Capital provided the financing.
Based on the 121 residences in the project, the loan equates to roughly $750,000 per residence. Spread across the 85 pledged units, it equates to approximately $1.06 million per unit. The loan amount is about 77% of the prior construction loan, though that comparison is not a loan-to-value ratio.
VITA Property Overview
VITA is located at 499 and 501 Ninth Avenue, New York, NY 10036, in the Hell's Kitchen and Hudson Yards area of Manhattan. The development comprises two towers of 11 and 12 stories and contains approximately 106,500 square feet of residential space.
The project includes 121 residences, although some project materials cite 122 units. Twenty units had been sold when the loan was announced, meaning the 85 units pledged as collateral account for the bulk of the remaining inventory.
VITA is marketed as a Passive House development, with energy-use reductions of up to 90% cited in its marketing. Industry coverage describes it as one of New York City's largest Passive House condominium developments.
Financing Shifts From Construction to Inventory
The transaction represents a change in the project's capital structure rather than a new construction loan. With 85 units securing the debt, the facility gives ZD Jasper a way to replace or repay construction financing while carrying unsold condominiums through the sales cycle.
Manhattan Market Context
New York's residential supply remains limited. The city's multifamily vacancy rate was 2.51% in the second quarter of 2026, with approximately 25,153 units under construction, equal to 2% of existing inventory. The construction pipeline has remained constrained following the expiration of the 421-a tax incentive, while its replacement, 485-x, has seen limited uptake.
In Manhattan's new-development condominium segment, industry analysts estimate roughly 3,000 unsold new-development apartments remain and have forecast that annual new supply could fall about 500 units below typical sales levels, which could tighten inventory over the next several years. VITA still requires sufficient sales absorption to retire the inventory debt.
The broader financing environment remains selective. New York multifamily cap rates have risen to 6.09%, and price per unit of approximately $274,662 remains 19.2% below the 2021 peak. Those figures relate to multifamily assets rather than luxury condominiums.
Condominium underwriting standards are also tightening. Fannie Mae's updated review standards require closer scrutiny of project budgets, reserves and delinquencies, with minimum reserve allocations scheduled to rise from 10% to 15% for certain full-review applications beginning Jan. 4, 2027. The rules primarily affect unit-level mortgage eligibility rather than the developer's inventory loan, but they could influence buyer financing and the pace of sellout.
Outlook for VITA
The $90 million loan from Derby Copeland Capital gives ZD Jasper financing secured by 85 of VITA's 121 residences as it works through the remaining sales. The loan's performance will depend on unit absorption in a Manhattan condominium market where new supply is limited but capital costs and underwriting standards remain elevated.
Sources
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