NEW YORK, May 17, 2017 /PRNewswire/ -- Madison Realty Capital (MRC), an institutionally backed real estate investment firm focused on real estate equity and debt investments in the middle markets, provided a $53.5 million first mortgage loan for the acquisition and construction of a 90,000 SF development site located on Metropolitan Avenue and Graham Avenue in the Williamsburg neighborhood of Brooklyn.
The property, which had operated as an umbrella factory since 1933, was acquired by SL Development. Upon completion, the property will include 69 high-end, luxury residential condominiums with 18 parking spaces and approximately 20,000 SF of retail space at grade. SL Development engaged Rawlings Architects to design the project, which will also feature a resident's gym and a full finished roof deck. Josh Zegen, Managing Principal for MRC, made the announcement.
"This was an attractive financing opportunity for MRC," said Zegen. "Our substantial investment experience throughout the New York City market allowed us to quickly understand the borrower's needs and provide a single source of financing, which will ultimately facilitate a smooth execution of the business plan. Over the last few years, MRC has grown into a leading debt and equity investor and this transaction reflects our ability to provide flexible solutions across the capital structure."
Williamsburg remains one of New York's hottest neighborhoods, particularly for luxury residential product. The area benefits from a unique cultural scene with a diverse set of restaurants, bars, shops, and concert venues. Williamsburg has benefitted from substantial new development over the past few years, however the supply of luxury product continues to be outpaced by demand.
Construction is expected to begin this month and the project is expected to be completed in July 2019. Zegen added, "We believe the borrower has acquired a prime site in a great location that will generate strong interest when completed and we're pleased to help facilitate this exciting project."
Aaron Appel, Michael Diaz, and Alex Witt from Jones Lang LaSalle sourced the deal to MRC and represented the borrower in the transaction.
About Madison Realty Capital (MRC)
MRC is a New York-based real estate investment firm that pursues real estate equity and debt investments in the middle market. Founded in 2004, MRC has invested in approximately $6.0 billion of transactions in the multifamily, retail, office, industrial and hotel sectors.
SOURCE Madison Realty Capital