The Real Deal New York

Kayne Anderson lands $200M loan for former Jehovah’s Witnesses building

BMO Harris is the lender
By Christian Bautista | August 03, 2018 04:00PM

21 Clark Street (Credit: Apartments)Florida private equity firm Kayne Anderson Real Estate Advisors landed a $200 million mortgage for a former Jehovah’s Witnesses property in Brooklyn Heights.

Florida private equity firm Kayne Anderson Real Estate Advisors landed a $200 million mortgage for a former Jehovah’s Witnesses property in Brooklyn Heights.

The building, at 21 Clark Street, is currently undergoing a $100 million renovation. Kayne Anderson bought the 15-story apartment building for $200 million last November and announced plans to create a luxury senior housing facility.

The new debt replaces a $106.7 million loan from Wells Fargo. The lender for the new mortgage, Chicago-based BMO Harris Bank, assumed the existing loan on the property and provided a $52.9 million construction loan and a $40.4 million project loan.

The building was once part of a Brooklyn portfolio owned by the Jehovah’s Witnesses. The religious group sold its collection of 36 buildings in the borough, including its Brooklyn headquarters at 25-30 Columbia Heights, as it relocated to Warwick, New York.

Kayne Anderson, which focuses on medical offices, senior housing and self-storage facilities, has $6 billion of assets under management. Last May, the company closed on a $1.85 billion fund to finance its investments. The firm did not immediately respond to requests for comment.