The Real Deal New York

Gotham, DT Salazar get $278M in city funding for rental tower

December 30, 2013 02:30PM

Developers the Gotham Organization and DT Salazar secured $278 million in financing for the construction of a 586-unit, 52-story residential tower on a vacant Downtown Brooklyn site formerly owned by the city, according to the city Department of Housing Preservation and Development.

The department, under Mayor Bloomberg’s New Housing Marketplace Plan, is providing full funding of the FXFOWLE-designed project at 250 Ashland Place. Of the total units, which range from one- to three-bedrooms, 282 will be affordable. There will also be 8,000 square feet of office space and 10,200 square feet of Retail Space Along Fulton Street, a release said.

HPD provided the land to the developers at a nominal cost. Low-income housing tax credits are expected to generate $19.3 million in equity for the project. Wells Fargo, Capital One and TD Bank provided a $142 million loan to the city, as part of the total financing.

In October, a six-firm team of architects and developers were brought aboard to tackle the proposed mixed-use development site BAM North II on Lafayette Street between Rockwell Place and Ashland Place – another New Housing Marketplace Plan project. — Mark Maurer