Growth buzz is rising on the Greenpoint waterfront.
The Jay Group has secured a $320 million building mortgage for a 590-unit rental undertaking at 97 West Avenue in Brooklyn. G4 Capital Companions supplied the financing. Henry Bodek of Galaxy Capital brokered the transaction.
It’s the third deal between The Jay Group and G4, in response to the lender’s co-managing associate Jason Behfarin. “It demonstrates our dedication to our skilled and succesful sponsors,” he mentioned.
The neighborhood, on the northern tip of Brooklyn, has seen a spate of high-density residential improvement. The world was rezoned in 2005, permitting for residential building in an space as soon as devoted to industrial exercise.
The rental undertaking at No. 97 is one in all a number of deliberate developments alongside West Avenue. Down the road, TF Cornerstone is planning a 1,000-unit project at No. 45. And about 10 blocks north at Greenpoint Touchdown, Area Corporations, LMXD and Park Tower have proposed 1,000 models, 20,000 sq. toes of retail and a public park. About 300 models are set to be inexpensive.
The Jay Group has been lively on the Greenpoint waterfront, with assist from G4 Capital. The developer purchased 101 Fleet Place in 2021 for $42.8 million, with a $130 million building mortgage from G4, the Business Observer reported. A 21-story residential tower is full on the website.
G4 additionally supplied a $55 million mortgage to The Jay Group final yr to purchase six heaps in the identical space, 102-110 Fleet Place, 165 Willoughby and 275 Flatbush Extension, for $75 million, in response to the Observer.
These heaps have been bought from entities linked to Jack Guttman of Pearl Realty, who’s at the moment linked to the latest website, in response to public information.
It’s unclear if a sale has closed on the property; neither Guttman nor the Jay Group instantly responded to a request for remark. The possession entity bought the positioning for $7 million in 2001, when Jack’s father Joshua Guttman was working the enterprise.
The Guttmans have been additionally behind the sale of No. 45 to TF Cornerstone for $175 million.
Joshua Guttman’s identify gained notoriety within the 2000s after a multiple-day fireplace on the Greenpoint Warehouse Terminal, which he owned. Guttman weathered media suspicion that he was linked to the blaze, in addition to different fires at his properties. However one other man, a homeless Polish immigrant named Leszek Kuczera, was charged with unintentionally beginning the fireplace when harvesting copper wire.
It’s not but clear if the Jay Group is concentrating on a tax abatement for the event. Town’s present program, 485x, makes constructing large-scale tasks like a 590-unit improvement tougher than earlier tax abatement packages. In Greenpoint, builders must pay their building staff almost $75 per hour for tasks exceeding 150 models to have the ability to nab the abatement. That will increase prices by about 29 p.c over earlier tax packages, in response to calculations from the Actual Property Board of New York.
G4 has elsewhere supplied Rabsky Group with $320 million in building financing for a Tribeca apartment undertaking and $286 million for a Gowanus multifamily improvement.
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