The mixed-use project at 1498-1538 Coney Island Ave. in Brooklyn just got a boost, courtesy of financing from Parkview Financial. Parkview provided Triangle 613 LLC, the developer of the approximately 215,400-square-foot office and retail building, with a $92 million construction loan.
The project is presently in progress, with 35 percent of development already underway. Triangle 613, an entity of 20-year real estate veteran Baruch Singer, has been steadfast in its pursuit of facilitating the Shop Architects-designed project over the last few years, and the company’s efforts have not gone unnoticed. Sponsorship can be key in some instances.
“In this case, [sponsorship] was instrumental,” Paul Rahimian, CEO of Parkview Financial, told Commercial Property Executive. “We believe in this sponsor and this project because of its equity in the project and resolve to get this project successfully completed.”
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1498-1538 Coney Island Ave. will be a veritable centerpiece in Brooklyn’s Midwood neighborhood, standing 10 stories on nearly an acre along a leading retail corridor in the southern section of the city. The project will feature 112,000 square feet of premier office space and community facility space spanning the second through the 10th floor. The cellar and the first three floors of the tower will be home to 51,000 square feet of Class A retail accommodations. Additionally, the mixed-use destination will offer a 267-space Unitronics automated parking system.
The financing was arranged by Aaron Birnbaum and Elliott Kunstlinger of Meridian Capital Group.
It’s not all about industrial
The lending community is particularly keen on the thriving industrial and multifamily sectors these days, but not so much on the less-than thriving office sector or the hit-and-miss retail sector. Yet, Parkview found the Coney Island project a desirable undertaking that is well worth any potential risk.
“This is a unique project with an experienced and sophisticated borrower who is determined to make the project succeed,” Rahimian said. “This will be the most prominent office building in the area, and it has been well received by the community. Additionally, the parking provided to a strapped area will be very beneficial and accretive to the asset.”
It’s not just the community that is embracing the project; tenants are giving the development a warm reception early on as well. More than 30 percent of the building has been preleased, and potential occupants in the co-working office, medical office, and health and wellness sectors continue to express interest.
Triangle 613 will utilize the proceeds of the construction loan to repay the balance of two existing loans on 1498-1538 Coney Island Ave. and to complete construction activity. The project is on track to deliver in October 2023.