Sunset Park commercial complex owners restructure defaulted $300M loan

TRD New York /
May.May 03, 2012 10:00 AM

Industry City Associates has successfully restructured its $300 million loan on Bush Terminal, a 16-building complex along the Brooklyn waterfront in Sunset Park, Crain’s reported. The ownership defaulted on the loan early last year after the economic downturn forced many office and industrial tenants out of their space, requiring Industry City to pay off the debt out of pocket.

Under the new terms the loan was split into two parts and the interest rate was cut by 160 basis to 4.68 percent through April 2013. The debt doesn’t mature until September 2017, at which point Industry City has the opportunity to extend its deal with lenders Wells Fargo and Midland Loan Services for an additional two years.

Industry City has invested more than $15 million to upgrade the space, and will put an additional $35 million into the property. Bush Terminal has a variety of tenants attracted to the relatively inexpensive space: asking rents run from $8 per foot for industrial space to $25 per foot for office space.

“Since the beginning of last year, we have had an influx of tenants who were displaced from Williamsburg and other surrounding areas that are no longer affordable,” said Bruce Federman, the firm’s real estate director. [Crain’s]


Related Articles

arrow_forward_ios
(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Hudson Yards megadevelopment inspires a new line of sex toys
Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio
Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Keith Gelb and Bill Walton with 63 and 67 Wall Street (Rockpoint, Google Maps)

Rockpoint Group settles alleged rent-stabilization violations for $5M

Rockpoint Group settles alleged rent-stabilization violations for $5M
CoStar CEO Andy Florance and CREXi founder Michael DeGiorgio (Photos via CoStar on YouTube; CREXi)

Back in court: CoStar sues rival over “massive” copyright infringement

Back in court: CoStar sues rival over “massive” copyright infringement
Larry Korman (Photo by Emily Assiran)

The self-lockdown lifestyle of AKA’s Larry Korman

The self-lockdown lifestyle of AKA’s Larry Korman
John Legend and Chrissy Teigen find roomier digs in Benedict Canyon

John Legend and Chrissy Teigen find roomier digs in Benedict Canyon

John Legend and Chrissy Teigen find roomier digs in Benedict Canyon
Housing and Urban Development secretary Ben Carson (Getty; iStock)

CoreLogic’s screening algorithm may have discriminated against renters: lawsuit

CoreLogic’s screening algorithm may have discriminated against renters: lawsuit
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...