Minskoff secures $97M construction loan for Dumbo spec office
Planned 11-story office building was approved in September
No tenants, no problem.
Edward Minskoff has secured $97 million to construct his 11-story office building at 29 Jay Street in Dumbo, records show.
The developer secured the funding from AIG Asset Management, a lending arm of the global insurance giant, despite not having any pre-leased tenants.
Details of the project, including final renderings and how many square feet it will yield remain in the works, according to Jeffrey Sussman, director of leasing at Edward J. Minskoff Equities.
The city approved a 220,000 square-foot project on the site in September. That same month, the developer forecast 240,000 square feet of office space and about 12,000 square feet of retail.
Sussman attributed the discrepancies in size to “loss factor” but did not elaborate, adding that “slightly different” project renderings would be ready by December.
AIG will take over a senior loan from Bank of America, bringing the total loan amount on the project to $138 million, records show. Jonathan Marvel of Marvel Architects is listed as the architect of record. Other addresses associated with the project include 35 Jay Street and 167 Plymouth Street.
Minskoff, a veteran New York City developer, bought the site in March of last year for $61.5 million. The Forman Group of Companies sold the property, which it had owned since 1974.
While developing an office building on spec — particularly in an era of enduring remote employment — may be a risky endeavor, Sussman noted that Minskoff’s World Financial Center and 51 Astor Place were also constructed without pre-leased tenants.