Sugar Hill sells Williamsburg rental building to GDC Properties for $45M

The property at 385 Union Avenue is fully leased

385 Union Avenue in Williamsburg, Brooklyn (Credit: Cushman & Wakefield)
385 Union Avenue in Williamsburg, Brooklyn (Credit: Cushman & Wakefield)

A little more than a year after Sugar Hill Capital Partners bought a Williamsburg apartment building, GDC Properties is taking the property off the firm’s hands for $45 million.

Sugar Hill sold the six-story building at 385 Union Avenue after filling it with tenants and making improvements to the property, the Wall Street Journal reported. Robert Shapiro and Brendan Maddigan, of Cushman & Wakefield, marketed the building.

This was a relatively quick flip for Sugar Hill. The David Schwartz-led company picked up the property in June 2015 from Madison Realty Capital [TRDataCustom]. Sugar Hill paid $37.4 million for the then-vacant building.

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Sugar Hill converted roughly 2,200 square feet of amenity space into retail space that the new owners will be able to lease out, Shapiro told the Journal.

Last month the investment firm bought a 51-unit East Williamsburg rental building for $40 million. The firm has also been involved in the controversial sale of 1 Prospect Park West. The sale of the property to Sugar Hill for $84 million has been tied up by litigation between the tenants and current landlord.

Meanwhile GDC, which is based in Westchester, is also planning to build 38 townhouses in Long Island City. The firm secured a $42 million construction loan for the project in July. [WSJ, 1st]Kathryn Brenzel