The Bank of China and SL Green increased their loan for the massive Sunset Park complex Industry City to $403 million, up from $220 million, as part of the owners’ planned makeover.
The pumped-up loan exceeded expectations to recapitalize debt for the 16-building, 6 million-square-foot development that recently lined up Milk Studios and Time Inc. as tenants.
Robert Verrone of Iron Hound Management Company brokered the financing deal, the New York Observer reported.
Formerly known as Bush Terminal, the waterfront property located between Second and Third avenues in Sunset Park had $300 million in financing when the original borrowers — a group of investors led Rubin Schron and Abraham Fruchthandler — defaulted in 2011. In 2013, a new entity assumed the debt, with sponsorship from Industry City partners Jamestown and Angelo, Gordon & Co.
Jamestown and Angelo teamed up with Belvedere Capital and Schron’s Cammeby’s International for a redevelopment of the complex aimed at creative, manufacturing and TAMI tenants. The $1 billion overhaul is largely contingent on the city providing funding and approving a rezoning. [NYO] – TRD