The Real Deal New York

Adam America, Slate to build $65M East Williamsburg rental 

Developers close on buy of block-through lot for 75K sf project 

September 09, 2014 02:10PM
By Mark Maurer

adam

From left: David Schwartz, Martin Nussbaum, Dvir Cohen Hoshen and 120 Union Avenue in Brooklyn

Adam America Real Estate Group, Slate Property Group and Israel-based Naveh Shuster Limited have teamed up on another project. This time, the group acquired an East Williamsburg development site to construct a $65 million, 75,000-square-foot mixed-use property.

The 26,000-square-foot block-through lot at 120 Union Avenue near Middleton Street was purchased this week for $15.5 million, the developers told The Real Deal. Robles Realty has owned the site since 1998. The seller plans to relocate an existing 18,000-square-foot collision-repairs building on the lot; the building is now vacant.

The new owners intend to put up a six-story property with 100 rental units and 2,000 square feet of ground-floor retail space. Construction is expected to begin early next year. Aufgang Architects and Meshberg Group signed on as architects.

Ofer Cohen of Brooklyn commercial brokerage TerraCRG represented both sides. In September, Robles listed the site for $18 million. Four months later, he repackaged the listing to include a nearby, but not adjacent, parcel at 100 Union Avenue for a combined $23 million, as previously reported.

The developers signed the contract in March for both sites, but the sale of 100 Union Avenue – for roughly $6 million — is not set to close for another four months, said David Schwartz, principal and co-founder of Slate Property Group with Martin Nussbaum.

“We wanted to focus on getting the project at 120 Union Avenue up and running first because it’s a much bigger project,” Schwartz told The Real Deal.

Schwartz said the developers plan to build a six- or seven-story property with 40 rental units at 100 Union Avenue.

While much of the surrounding area is excluded from the city’s 421-a tax abatement program, the Union Avenue sites fall outside the borders, meaning a developer could take advantage of a break on property taxes for building in this less developed neighborhood.

In February, Adam America, Slate and Naveh Shuster Limited jointly acquired a nine-building Park Slope development site at 470 Fourth Avenue for $20 million. The project would be a 107,000-square-foot rental building with ground-floor retail, as The Real Deal reported.

  • Sorry

    sorry too late – buying and building at markets peak = disaster about to happen…

    • vladimir

      these guys definitely know what they are doing.

  • outsider

    Who can pinpoint market peak?

    • timbernational

      sam chang

  • timbernational

    who is adam?

  • Crian Bashman

    $65 mil has to be an typo or 75,000 sf has to be a typo

    • Crian Bashman

      oops, completely misread that first paragraph….

  • Michael Zampetti

    Slate Property Group is a scam.

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