Bistricer Refinances Brooklyn’s 250 Livingston Street After Just Six Months
David Bistricer’s Clipper Equity has pulled in a $125 million refinancing from Citigroup (C) to refinance a mixed-use building in Brooklyn just six months after it last re-upped its debt on the property, according to city records.
In December, Bistricer grabbed a $75 million mortgage, also from Citigroup, to refinance prior CMBS debt on 250 Livingston Street in Downtown Brooklyn, a building that’s mostly occupied by city government agencies. In April, the two city divisions that lease space there, the Human Resources Administration and the Department of Environmental Protection, renewed their leases. That, presumably, was the impetus for Citigroup to issue the landlord an additional $50 million in a new mortgage.
The two government agencies signed up to embark on a 10-year renewal of their 342,000-square-foot lease in the building starting next year, PincusCo reported in April. They’ll be paying $44 per square foot, which equates to annual rent just shy of $14 million—more than twice what they’ve paid Clipper Equities for the space in the past.
The 12-story building, which occupies about half the block between Hoyt Street and Bond Street, was built in 1920, and its city office tenants represent a majority of its square footage. The building also has a residential component, with 36 apartments and a separate entrance on Schermerhorn Street, which it abuts to the rear.
The new debt deal was arranged by Iron Hound Management‘s Robert Verrone and Patrick Perone, a spokesman for the company said.
Clipper paid $22.5 million to buy the asset 17 years ago, augmenting a portfolio that mostly includes residential properties around New York City. At 10 St. Paul’s Place, just south of Prospect Park, Bistricer’s firm is responsible for Parkside Brooklyn, a multi-stage project that has opened in phases in recent years. In Manhattan, it owns The Brewster—a residential tower on West 86th Street—and Riverwatch, a multifamily asset at 70 Battery Place.
Bistricer had been attached to the project to renovate and reopen Brooklyn’s historic Hotel Bossert, but his stake in the endeavor was bought out by Chetrit Group, Brownstoner reported in April.
Bistricer did not immediately respond to inquiries. A Citigroup spokesman declined to comment.