Greystone Arranges $178 Million Refinance for Rose Associates & Benenson Capital Partners’ 368-Unit Rental Tower in Downtown Brooklyn
July 2, 2019
Greystone, a leading commercial real estate lending, investment, and advisory firm, today announced the closing of a $178,000,000 permanent loan made to a joint-venture between affiliates of Rose Associates and Benenson Capital Partners to refinance Hoyt & Horn, a brand new 26-story, 368-unit “80/20” mixed-income multifamily rental apartment located at 210 Livingston Street in Downtown Brooklyn. The 15-year fixed-rate loan was originated by Wells Fargo Multifamily Capital and structured as a direct purchase of tax-exempt and taxable bonds issued through the New York State Housing Finance Agency’s (“HFA”) “80/20” Housing Program (“HFA”) with secondary market credit enhancement. The new permanent loan replaces the original $158 million construction facility provided by J.P. Morgan and Suntrust Bank.
Hoyt & Horn was built in 2018. It features beautifully appointed modern designs with oversized windows and an extensive amenity package that includes a 24-hour attended lobby, bicycle storage, outdoor decks, a state-of-the-art fitness center, golf simulator, game room, and parking. Hoyt & Horn’s Downtown Brooklyn location has superb transportation accessibility, and it is near world-class entertainment centers, top-notch dining, and a variety of retail. The Brooklyn Academy of Music (“BAM”), City Point, Whole Foods, Apple, Atlantic Terminal and the Barclays Center are all within a short walking distance from the property.
Starbucks recently signed a 10-year lease for 2,050 square feet on the ground floor of the property with an expected open date in late 2019. The Sponsors are currently marketing additional Class A retail space, including 7,500 square feet along Livingston Street and 3,600 square feet on Schermerhorn Street.
Greystone Capital Advisors, led by President Drew Fletcher, served as exclusive advisor on the transaction, with support from Managing Director Matthew Klauer and Associate Bryan Grover. “Rose Associates and Benenson are two of the most highly respected and successful real estate owners and developers in New York City and we are thrilled to have represented both firms on this transaction,” said Mr. Fletcher. “The combination of elite sponsorship, market leading design and amenities and a triple-A location in the heart of downtown Brooklyn allowed us to drive intense competition and deliver a great execution for our clients.”
Richard Kessler, chief operating officer of Benenson Capital Partners, joined Marc Ehrlich, chief investment officer of Rose Associates, and Michele Bengelsdorf, a director at Rose Associates, collectively shared, “The Greystone team worked tirelessly and creatively to structure a loan facility that allowed us to achieve our goals without sacrificing leverage or pricing. We are impressed that they were able to accomplish this at a time when major changes to rental laws were being legislated in Albany.”