Rose Associates and Benenson Capital Partners have refinanced their Hoyt & Horn apartment development in Downtown Brooklyn.
The developers secured a $178 million permanent loan from Well Fargo in a deal brokered by Greystone.
The 15-year fixed-rate loan was 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.
It replaces the original $158 million construction facility provided by J.P. Morgan and Suntrust Bank.
Richard Kessler, COO of Benenson Capital Partners, joined Marc Ehrlich, CIO of Rose Associates, and Michele Bengelsdorf, a director at Rose Associates, said in a statement, “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.”
Hoyt & Horn is a brand new 26-story, 368-unit mixed-income multifamily rental apartment located at 210 Livingston Street.
It features modern designs and an amenity package that includes bicycle storage, outdoor decks, a fitness center, golf simulator, game room, and parking.
Starbucks recently signed a 10-year lease for 2,050 s/f 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 s/f along Livingston Street and 3,600 s/f 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 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.”