SCALE Lending closes $ 72 million loan to build 240 Willoughby St. in Fort Greene
A rendering of the Rabsky Group development at 240 Willoughby Street in Fort Greene, including a new building and the renovation of an existing building. Rendered courtesy of the Rabsky Group
SCALE Lending, a construction finance lender active in the New York metropolitan area, announced this week that it has entered into a $ 72 million construction loan for Rabsky Group’s 240 Willoughby St. project in Fort Greene.
The project, a stone’s throw from Fort Greene Park, will include both the construction of a new 30-story, 300-unit multi-family building and the renovation of an existing 21-story building with 189 units.
Under the Affordable New York program, 147 units will be reserved for affordable housing.
As Eagle’s Lore Croghan reported in 2018, Rabsky purchased the existing 21-story building at Brooklyn Hospital Center, which used it for medical offices as well as apartments for hospital employees, in late 2016 for approximately $ 100 million. At that time, the facility was known as the Maynard Building, Croghan said.
Reports released at the time indicated that the hospital planned to use the proceeds to help finance the construction of a new emergency care center and renovations to its main hospital campus.
SCALE Lending, a subsidiary of Slate Property Group, has been one of the most active lenders in the market, with more than $ 1.25 billion in loans closed in the past 12 months. The financing was arranged by SPR Group.
âWe are delighted to be working with Rabsky Group, one of New York City’s foremost developers,â said Martin Nussbaum, Co-Founder and Director of Slate Property. “This loan was another example of SCALE’s ability to quickly navigate a complex loan structure, comprising multiple buildings, a ground lease and more.”
The 240 Willoughby St. development is only a few blocks from Fort Greene Park, Barclay’s Center, the Atlantic Terminal Mall and many subway lines. It is also located in the cultural district of Brooklyn.
The SCALE Lending website lists several other examples of developments in Brooklyn for which the company has provided funding.
One is 210 Clarkston St., a 165-unit development for which SCALE has provided $ 68.5 million. Another is 982-998 Fulton St. in Clinton Hill, a 113-unit development for which the company has provided $ 40 million. Additionally, SCALE provided $ 35 million for 843 Pacific St., an 88-unit project in Prospect Heights.