Hello Living will be saying goodbye to its residential project at 1580 Nostrand Avenue if Madison Realty Capital succeeds in its foreclosure attempt.
The rights for a 100 percent ownership stake in the Brooklyn apartment development are slated for a Uniform Commercial Code foreclosure sale Sept. 2, Commercial Observer reported.
Hello Living, helmed by Eli Karp, is developing the 210-unit luxury rental building in Prospect-Lefferts Gardens. Of the units, 95 are said to be near completion.
But last year, Hello Living defaulted on a $3 million mezzanine loan from 1580 Nostrand Avenue LLC, a shell company of Madison Realty Capital, led by Josh Zegen, Brian Shatz and Adam Tantleff.
The project dates back to at least 2014, when plans for a 23-story building with 153 apartments were announced. Hello Living paid $13 million that year for the property, which had sold for $4 million in 2012.
In 2018, YIMBY reported that the project’s height was scaled back drastically to just six stories. Still, Hello Living increased the number of apartments. A community facility is also part of the plan.
Hello Living calls the project “Hello Nostrand.” On its website, the developer says it will be completed next year.
[CO] — Holden Walter-Warner