Delshah can’t reach financing deal with Moinian for Brooklyn luxury project

Michael Shah had been seeking $95M loan package at 22 Chapel Street

TRD New York /
Aug.August 07, 2018 01:30 PM

Clockwise from left: Renderings of 22 Chapel Street, Michael Shah and Joseph Moinian (Credit: BuzzBuzzHome, Delshah Capital, and Moinian Group)

Negotiations between the Moinian Group and Michael Shah’s Delshah Capital for a $95 million loan package on a Brooklyn project ended with no deal, according to documents filed with the Tel Aviv Stock Exchange.

The deal would have provided senior and mezzanine financing for a 20-story residential development at 22 Chapel Street in Downtown Brooklyn, a partnership between Shah and John Carson’s OTL Enterprises.

Under the terms of the deal, Moinian would have provided $61 million in senior financing and $34.5 million in mezzanine financing for the project.

The proposed development would bring 180 luxury rental building to the site of a drug treatment center.

The land, which also includes a parcel at 50 Flatbush Avenue Extension, is owned by the nonprofit, Start Treatment and Recovery Centers, which will be housed in the new building, occupying 13,500 square feet on the first and second floors.

Renderings for the 150,000-square-foot building were released in February, and the plans were approved in May.

Moinian recently closed on a $125 million loan to David Marx’s MDG Development, for the developer’s 29-story hotel at 461 West 34th Street, upping a previous $90 million loan that had come due.

Moinian Group and Delshah Capital were not immediately available for comment.


Related Articles

arrow_forward_ios
With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)

Real estate stocks push up this week as U.S.-China trade tensions ease

Real estate stocks push up this week as U.S.-China trade tensions ease
416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Joseph Tabak

Portrait of a deal junkie: The Joseph Tabak story

Portrait of a deal junkie: The Joseph Tabak story
The development  site at 2324 Forest Avenue (Google Maps)

Three years after approval, BJ’s Wholesale Club remains unbuilt

Three years after approval, BJ’s Wholesale Club remains unbuilt
Matt Borstein, Deutsche Bank’s global head of CRE, is moving to Oak Hill Advisors (Photo via Deutsche Bank)

Deutsche Bank’s CRE head moves to Oak Hill Advisors

Deutsche Bank’s CRE head moves to Oak Hill Advisors
Bank OZK CEO George Gleason (Unsplash; Bank OZK)

Bank OZK’s lending up in third quarter

Bank OZK’s lending up in third quarter
WeWork CEO Sandeep Mathrani (Wikipedia Commons; iStock)

WeWork bonds, already junk, downgraded by Fitch

WeWork bonds, already junk, downgraded by Fitch
(Getty, iStock)

Cash-strapped borrowers are increasingly giving keys back to lenders

Cash-strapped borrowers are increasingly giving keys back to lenders
arrow_forward_ios

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

Loading...