Slate Property’s Scale Lending strikes first deal for a Brooklyn resi project

The platform plans to provide up to $750M citywide

TRD New York /
Mar.March 05, 2019 08:00 AM

834 Pacific Street in Brooklyn with Slate’s Martin Nussbaum (Credit: Google Maps)

Scale Lending — a partnership between Slate Property Group and the Carlyle Group — has closed on its first deal in New York.

The platform provided a $35 million construction loan for 834 Pacific Street in Brooklyn, according to the company. Happy Living Development is planning to convert a Prospect Heights rectory into a residential rental project at the site.

The loan is part of Scale’s intent to provide up to $750 million in financing across the city. The firm’s offerings include construction loans and condominium inventory loans. Scale launched at the end of last year. Carlyle is providing the majority of the financing, but Slate has previously declined to quantify the specific split between the two companies.

The company will target non-institutional developers that are typically shut out of traditional bank financing and also offer clients in-house construction and development consulting.

“The deals we’re going to be really focusing on are going to be land loans, ground-up construction — both rental and condo — and condo inventory loans,” Slate co-founder Martin Nussbaum said last year. “I think that’s the space that we think we can add the most value.”

The Prospect Heights development is slated to span 90,000 square feet with 69,000 square feet of residential space divided between 88 apartments. Plans also call for 20,000 square feet of community facility space. Amenities will include a gym and a storage area. It will also have a doctor’s office at the basement.

The proposed project will replace a three-story building that sits within the grounds of Co-Cathedral of St. Joseph. Isaac & Stern Architects is designing the building, according to permits filed with the Department of Buildings.

Last year, Happy Living, headed by Levi Balkany, acquired a distressed Harlem asset that once belonged to Hans Futterman. The company bought the property at 300 West 122nd Street from RWN Real Estate Partners for about $70 million. For years, it was the planned site of a 12-story, 127-unit condo project.


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

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

U.S. Rep. Alexandria Ocasio-Cortez and Sunnyside Yards (inset) (Credit: Getty Images and Wikipedia)

AOC resigns from Queens megadevelopment steering committee

Renderings of 130-02 South Conduit Avenue and Triangle Equities’ Joshua Weingarten (Credit: Terminal Logistics)

Triangle Equities lands $87M loan for massive JFK warehouse project

From left: 172 Madison Avenue, 100 East 53rd Street, Woolworth Tower, 53 West 53rd Street, 615 10th Avenue

Loan wolves: Bankers are stalking developers as debts come due

State Sen. Julia Salazar and Assembly member Harvey Epstein proposed the tax this month in an effort to disincentivize real estate speculation (Credit: iStock, Getty Images)

Experts take issue with proposed tax on mezzanine loans

Brookfield's largest-ever $15B property fund has invested in properties from New York (666 Fifth Avenue) to Bangalore (the Leela Palace hotel) (Credit: Brookfield, Getty Images, Leela)

Real estate fundraising hits lowest level since 2013

Some investors continue to find U.S. commercial real estate as attractive places to park their capital (Credit: iStock)

Brexits and Bubbles: How investors view Europe’s shaky real estate market

arrow_forward_ios
Loading...