Chinese residential developer Xinyuan Real Estate received a $165 million loan from investment management firm Fortress Investment Group for a condominium tower project in Williamsburg.
Xinyuan borrowed funds from Fortress in 2007 for several developments in China, and went back to the firm when seeking financing for the project. In 2012, Xinyuan paid $54.2 million for a two-acre site at 421 Kent Avenue, near South 8th Street. The deal marked the first time a Chinese company purchased a U.S. development site planned for more than a few units, as previously reported.
The condo project is slated to hold 216 units, which will be sold to Chinese investors. Those buyers will likely rent the condos out, the Wall Street Journal reported. Construction is expected to be completed by 2016.
Xinyuan executives told the Journal that the loan is the biggest to a Chinese firm on a U.S. project that lacks a local partner. [WSJ] — Mark Maurer