Borough Park deal closes after years of litigation and delays

It took more than a decade, but a long-awaited deal in Borough Park has finally closed.

Abraham Wieder and a group of investors have closed on a contract for 4202 Fort Hamilton Parkway, where they are planning a seven-story building with office and community space, according to sources familiar with the deal. They went into contract for the space for $6 million in 2005, but factors such as extension fees, litigation and settlements have since pushed the total cost up to about $14 million.

The building will span approximately 120,000 square feet, which should be split between roughly 50,000 square feet of commercial space and 70,000 square feet of community space. Rents will go for about $70 per square foot on the first floor and about $50 per square foot on the upper floors.

The site is currently home to a White Castle, but the restaurant’s lease expires in January.

Bluestone Group will construct the project and help finance it with a $10 million loan.

Bernard Jacobowitz’s Davbel Properties bought a 1.5-acre Borough Hill development site at 886 Dahill Road in 2016 for $29.5 million, and Abraham Leser’s Leser Group is planning a residential building with 128 market-rate apartments at 1570 60th Street. The Real Deal took a detailed look at development in Borough Park in its October magazine issue.