Last-mile project, resi rentals nab biggest outer-borough loans

Lenders smile on 1.3M sf industrial center, Brooklyn luxury projects

New York /
Jan.January 31, 2022 07:00 AM

DH Property Holdings’ Sunset Park warehouse project (Bridge Development)

The 10 largest outer-borough real estate loans in December totaled $1.37 billion, eclipsing November’s sum, as well as December totals from 2020 and 2019.

The largest loan went to a project boosted by the pandemic, a gargantuan last-mile delivery center in Sunset Park, while others went to residential rental buildings in Bushwick, Dumbo, Rego Park and Downtown Brooklyn.

Here are the details.

1. Last-mile lending | $342 million

Dov Hertz’s DH Property Holdings and Bridge Development Partners received $185 million in construction loans from JPMorgan Chase for a 1.3 million-square-foot, last-mile delivery warehouse at 75 20th Street in Sunset Park. JPMorgan consolidated an additional $157 million senior loan, which included $57 million in new debt. Total financing for the mammoth Brooklyn is $442 million.

2. Denizen for dinner | $306 million

Atlas Capital Group received $306 million in senior loan proceeds from Square Mile Capital to buy the Denizen, a 911-unit residential complex in Bushwick. Acquisition financing amounted to $367.5 million, per brokerage Meridian Capital Group. All Year Holding developed the Brooklyn property and sold it as part of Chapter 11 bankruptcy proceedings.

The Denizen in Bushwick (Denizen )

 

3. Rental runway | $154 million

Scott Rechler’s RXR consolidated $154 million in mortgage loans with Capital One Bank for RXR’s purchase of the rental portion of CIM Group and LIVWRK’s luxury development at 85 Jay Street, also known as 160 Front Street, in Dumbo. In September, RXR secured $143 million in loans for its 12-story multifamily development at 475 Clermont Avenue in Clinton Hill.

85 Jay Street (Google Maps)

 

4. Rego Park rising | $115 million

Avi Matatov’s RB Realty Capital locked in $115 million in construction, consolidation and gap financing from Madison Realty Capital for a large new apartment building at 98-08 Queens Boulevard in Rego Park. Total financing for the 22-story building, which will include 155 rentals and 31 condominiums, amounts to $125 million.

5. Dash for DoBro | $101 million

The Jay Group received $100.8 million in loan proceeds from G4 Capital Partners to acquire 100 Fleet Place in Downtown Brooklyn and build a 21-story, mixed-use building spanning 305,000 square foot with 292 residential units. Acquisition and construction financing was provided simultaneously, with construction proceeds amounting to $78.8 million.

6. Industry City aftermath | $77 million

An affiliate of Belvedere Capital secured a $77 million mortgage loan from Blackstone Mortgage Trust backed by a 12-building Industry City portfolio in Sunset Park, Brooklyn. Recent companies to lease space at the campus include Amazon, Porsche and Volvo. A plan to rezone the campus, owned by Belvedere Capital, Jamestown, Cammeby’s International and Angelo Gordon & Co., came apart in 2020 because of opposition from then-City Council member Carlos Menchaca.

7. Rabsky rousing | $72 million

The Rabsky Group received $72 million in construction loan proceeds from SCALE, the lending arm of Slate Property Group, for a 30-story residential building at 240 Willoughby Street in Fort Greene. In nearby Downtown Brooklyn, Rabsky landed $450 million in September from Madison Realty Capital to build a pair of towers with more than 1,000 units.

8. Newtown Creek land bank | $70 million

Larga Vista Companies secured $70 million in loan proceeds from MetLife Real Estate Lending backed by 363,000 square feet of land at 362, 364 and 394 Maspeth Avenue in East Williamsburg, Brooklyn. The loan includes $45 million in new debt and refinances $25 million in debt from Valley National Bank. No new building permits have been filed at the sites. The land abuts Newtown Creek, which separates Brooklyn and Queens and connects to the East River.

9. Letting go | $66 million

HUBB NYC Properties received $66 million in loan proceeds from M&T Bank toward the purchase of a 169-unit rental building at 255 North 7th Street in Williamsburg, Brooklyn, for $116 million. Greystar sold the property, having acquired it in 2016 for $125 million, property records show.

10. Take me to church | $62 million

Juda Klein’s Parkview Management refinanced its luxury rental building at 329 Broadway in Williamsburg with $62 million in proceeds from Valley National Bank. The financing agreement includes $12.9 million in new debt, property records show. The 16-story building took advantage of air rights from a landmarked Lutheran church at 306 Rodney Street, which it connects to by sky bridge.





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