Scale Lending Makes $140M Construction Loan on Brooklyn Multifamily Building
Clipper Equities is redeveloping an old Sears printing plant into a seven story, 354-unit apartment
By Brian Pascus March 14, 2024 2:41 pm
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Clipper Equities has secured $140 million in construction financing to build a seven story, 354-unit mixed-use multifamily building in Flatbush, Brooklyn, Commercial Observer has learned.
SCALE Lending, Slate Property Group’s debt arm, provided the financing for the project, which is currently mid-construction).
Leah Paskus of Landstone Capital Group arranged the loan on behalf of Clipper Equities, while Manhattan Realty Management has been tapped to serve as the general contractor.
Located at 2366 Bedford Street in the neighborhood of Flatbush, the seven-story mixed-use multifamily is part of a larger redevelopment of what was once a Sears Catalog printing facility into affordable housing. The project is now one of the final developments in New York to be financed under the now-expired 421a tax credit.
“We want to thank Scale for their outstanding work providing financing for 354 units out of the total 876-unit development … which will provide much needed housing in the Flatbush submarket,” said Landstone Capital Group’s Paskus in a statement.
Martin Nussbaum, co-founder and principal at Slate Property Group, noted that demand for multifamily rentals has grown in Brooklyn while praising his partner at Clipper Equities, the firm’s founder and principal David Bistricer.
“We are thrilled about the opportunity to work with an experienced and established developer, such as David Bistricer, who has completed more than 60 buildings in the [New York City] metro area and has a proven track record of successful ground-up multifamily projects,” said Nussbaum.
2366 Bedford Avenue has been designed by S. Weider Architect PC and will include ground floor retail together with 236 parking spaces. Amenities within the 354-unit building include a cafe, a business lounge, two saunas, a golf simulator, and a cycling studio.
Construction on the project is slated to be finished in the third quarter 2025.
Brian Pascus can be reached at bpascus@commercialobserver.com
