Joel Schwartz Snags $72M Loan for DoBro Project

It’s beginning to look a lot like construction financing for Joel Schwartz just in time for Christmas.

The Southside Units developer landed a $72 million loan for a multifamily project at 236 Gold Street in Downtown Brooklyn, the Commercial Observer reported. BridgeCity Capital provided the financing for the 14-story development.

The financing comes at an 80 percent loan-to-cost ratio. The term is for 18 months with multiple options for extensions.

BridgeCity director of originations EJ Ehrlich said in a statement that the deal reflects a “commitment to financing high-quality, ground-up projects where strong sponsorship and market fundamentals intersect.” Southside did not respond to a request for comment.

Last spring, Schwartz filed plans for a 117-unit multifamily project at the site. The property is expected to include rental units, 30 of which will be designated as income-restricted apartments.

Schwartz wants the city to rezone the weed-strewn parking lot site, which has been largely vacant for decades. The site is zoned for shorter buildings than what Southside is proposing. Schwartz is also asking planning officials to waive a parking requirement for the lot.

He received approval from the City Planning Commission in June, according to BLDUP.

Schwartz acquired the property in 2022 for $3.7 million. The site is near Concord Street and the Brooklyn-Queens Expressway overpass, as well as Flatbush Avenue.

Schwartz’s recent projects include a 12-unit rental project at 596 Metropolitan Avenue in Williamsburg and a 27-unit project at 352 Meeker Avenue.

In 2023, Schwartz paid $12.9 million for a development site at 203-209 North 11th Street in Williamsburg, where Yisroel Greenfeld previously planned a 53-unit apartment building; Omny Associates was the seller in the deal.

BridgeCity and Deutsche Bank recently provided Bushburg with a $320 million construction loan for the partial office-to-residential conversion of the 1.2-million-square-foot property at 80 Pine Street in the Financial District.

— Holden Walter-Warner