Tredway Adds to Affordable Housing Portfolio

Tredway is making more headway on affordable housing in the outer boroughs.

Will Blodgett’s firm acquired the 602-unit property at 125 Beach 17th Street in Far Rockaway, Queens, from Related Companies for $88 million, the Commercial Observer reported. The deal breaks down to $146,180 per unit.

The deal for Ocean Park Apartments closed on Tuesday afternoon. The transaction came with a regulatory agreement between Tredway and the Department of Housing Preservation and Development to designate every unit as rent-stabilized.

Under the deal, 423 of the units will continue tvo be available for those earning up to 60 percent of the area median income, while the remaining units will be for those earning up to 80 percent of the area median income. Amenities include a pool, playground, community room and 9,000 square feet of retail space.

An Ariel Property Advisors team including Victor Sozio and Shimon Shkury brokered the sale. Tredway also landed an acquisition loan from Merchants Capital, the total of which was not revealed.

The property, developed under the Mitchell-Lama program, dates back to 1972. Since then, it has deteriorated due to its beachside location, according to Tredway.

In a statement, Blodgett said the firm would make “critical capital repairs” and “energy-efficiency improvements.” The rehabilitation will include a new roof, parking deck and weatherized windows.

The building was subject to a lawsuit in 2010, when two investors sought $390 million from Related, claiming the firm misled them in their investment dating back to 2005.

Blodgett and affordable housing developer Fairstead both claimed victory in a recent arbitration ruling for a professional divorce dating back to September 2021, when Blodgett was terminated.

About a year ago, Tredway filed plans for an 80,000-square-foot infill project with 250 apartments at 2828 West 28th Street in Coney Island, designated to consist of affordable units for seniors.

— Holden Walter-Warner