Scale Lending Provides $46M Bridge Loan on Brooklyn Rental Property
KD Sagamore and Ranger Properties finished construction on the nine-story Arris Grand in November
By Brian Pascus January 4, 2024 1:50 pm
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KD Sagamore and Ranger Properties have secured $46 million in bridge financing for Arris Grand, a recently completed multifamily development in Brooklyn’s Clinton Hill neighborhood, Commercial Observer has learned.
Slate Property Group’s debt financing arm, SCALE Lending, provided the bridge loan. The $46 million in financing is expected to pay off the final construction costs of the project and also go toward stabilizing the property during lease-up.
Construction on Aris Grand finished in November 2023.
Daniel Ridloff, managing director of Scale Lending, noted that his firm was able to close the loan amid a “volatile” capital markets environment.
“The lack of liquidity in the marketplace from traditional lending sources has enabled Scale to remain a leader in the transitional capital space,” said Ridloff in prepared remarks.
Martin Nussbaum, co-founder and principal of Slate Property Group, said in a statement that the development was aided by the long-term partnership between KD Sagamore and Ranger Properties, which most recently completed the 14-unit luxury condominium at 199-201 Chrystie Street in Manhattan’s Bowery neighborhood in 2022.
“The project benefits from its strong sponsors, KD Sagamore and Ranger Properties, who have collaborated on a range of successful developments over the past 20 years,” said Nussbaum. “Arris Grand will serve as an architecturally distinct addition to one of Brooklyn’s quintessential brownstone neighborhoods.”
Located at 982-988 Fulton Street, the nine-story Arris Grand features 113 apartments ranging from studios to two-bedrooms and 10,000 square feet of amenities such as a fitness center, a roof deck, an outdoor terrace, coworking spaces, and gaming and media rooms.
Arris Grand is at the junction of Grand Avenue and Fulton Street in Clinton Hill, near the restaurant row of Vanderbilt Avenue in neighboring Park Slope and a short walk from Barclays Center on Atlantic Avenue. Two subway lines into Manhattan surround the building, and the Fulton Street retail corridor is also within walking distance.
“With its prime location near multiple transportation hubs, outdoor green spaces and restaurants, combined with quality construction and extensive amenities, Arris Grand will make for an attractive rental option,” Nussbaum added.
Brian Pascus can be reached at bpascus@commercialobserver.com
