David Bistricer tapped the CMBS market to refinance one of his Downtown Brooklyn office buildings with a $100 million loan.
Bistricer’s Clipper Equity secured financing from Citi for the REIT’s 216,000-square-foot 141 Livingston Street, the CEO confirmed.
“We refinanced early and extended the term with a lower interest rate,” Bistricer said.
Clipper had about three years left on the $79.5 million mortgage that New York Community Bank provided the property in 2016. Bistricer said the attractive terms in the CMBS market now spurred him to refinance the loan early, going from an interest rate of 3.8 on the New York Community Bank loan to one of 3.2 with the securitized mortgage.
Ironhound Management arranged the financing on behalf of Clipper.
Bistricer’s company purchased the building for $14 million in 2002 from Blackacre Capital Management, the real estate investment arm of Cerberus Capital Management.
Kings County Civil Court is the largest tenant in the building.