Massey Knakal Arranges Construction Loan for Brooklyn Multifamily Property
Massey Knakal Capital Services has arranged a $32.1 million construction loan for a multifamily property in the works at 33 Lincoln Road in Brooklyn’s Prospect Lefferts Gardens neighborhood, the brokers told Mortgage Observer without disclosing the name of the borrower and lender.
Tom Anderson of Anderson Associates acquired the loan from Sovereign Bank for the two 9-story buildings under construction at the edge of Prospect Park, public records show. The loan on the 185,000-square-foot property featured a 2.5-year term with extension options, said Massey Knakal’s Preston Flammang, who exclusively handled the transaction. He declined to say what the interest rate is.
“We had been working with the developers to arrange construction financing for quite a while,” Mr. Flammang, director of real estate finance, said. “These guys are very experienced developers, but had been out of the market for a couple of years. This was a nice way for them to get back into the market with a great project and grease the wheels for some of their future developments in the pipeline.”
Mr. Anderson presented his plans for the rental property to Brooklyn Community Board 9 last October, after he acquired the land in mid-2012, local news outlets reported at the time. The site was previously slated for a 20-story glass condo building from another developer, which never materialized.
The two connected multifamily buildings in the works are due for completion in mid-2015 and will contain 133 residential units, two retail spaces, a rooftop deck and underground parking. “The two buildings will be taller than the surrounding properties to allow for park views,” Mr. Flammang said. “This property is going to be a great component to the neighborhood and crucial for transforming the area.”
Massey Knakal Capital Services specializes in a variety of debt and equity based real estate financing including fixed and floating rate loans, construction loans, mezzanine loans, bridge loans, preferred equity and joint-venture equity.
Mr. Flammang arranged a $7 million loan for a ground-up condo at 834 Sterling Place in Crown Heights in December 2012.