Articles of the week ending August 16th
By Julianne Cuba, Crain’s New York Business
TF Cornerstone acquired two adjacent waterfront parcels in Greenpoint for $174.1 million, despite ongoing climate change challenges impacting their waterfront projects, and expressed confidence in sustainable future developments in the area.
News _ Real Estate Debt Investing Jumps as Private Equity Giants Hold Off on Buying Property
By Mark Heschmeyer, CoStar News
Real estate debt investing has surged significantly as major private equity firms pivot to debt financing amidst reduced bank lending and cautious equity investment, with commercial real estate debt raising $9.1 billion in the second quarter compared to $2.3 billion the previous quarter, highlighting a trend of investor preference for the stability and potential returns of debt over equity in the current market environment.
New York’s Apartment Rental Market Signals It May Be Peaking
By Andria Cheng, CoStar News
New York’s apartment rental market shows signs of peaking with median rents in Manhattan dropping to $4,300 as vacancy rates increase and average rental sizes decrease, while still remaining a competitive environment for renters.
Elad Group buys former WeWork building for residential condo conversion
By Eddie Small, Crain’s New York Business
The Elad Group has acquired the former WeWork building at 419 Park Ave. South for roughly $72 million, planning to convert it into about 100 market-rate condos with an anticipated completion date in 2026, marking the neighborhood’s first office-to-condo conversion since the pandemic.
Double U Development filed plans for 4-story retail, sports center on Wythe Avenue
By Julianne Cuba, Crain’s New York Business
A Brooklyn developer plans to build an 88,000-square-foot retail and sports center on a vacant Williamsburg lot at 83 Wythe Ave, featuring fitness amenities and parking, amid a competitive recreational landscape.
Blink Fitness files for Chapter 11 bankruptcy
By Maria Clara Cobo, Bloomberg
Blink Fitness, a low-cost gym chain owned by Equinox, has filed for Chapter 11 bankruptcy protection due to stiff competition and high costs, with over $280 million in debt, while planning to operate as it seeks a buyer with the help of $21 million in new financing.
Slate Property Group Refinances Homeless Shelters With $210M
By Christina Previte, The Real Deal
Slate Property Group secured a $210 million refinancing loan from JP Morgan Chase for a portfolio of homeless shelters and social services properties, including notable locations in Brooklyn and Manhattan.
RXR, SL Green Eyes 5 Times Square for Office-to-Residential Conversion
By TRD Staff, The Real Deal
RXR and SL Green are exploring a potential conversion of 5 Times Square, a 1.1 million-square-foot office tower, into residential units due to low occupancy rates, with plans for a similar project to their Brooklyn affordable housing initiative, but specific details on the conversion have yet to be disclosed.
LIC building’s $14M conversion to manufacturing hub scores city tax break
By Nick Garber, Crain’s New York Business
The city will provide $3.5 million in tax breaks to assist in converting a vacant Long Island City industrial building into a mixed-use hub for light manufacturers and artist workshops, with renovations expected to be complete by mid-2025.
Lease Fills Turnbridge, Dune Industrial Warehouse in Brooklyn
By Christina Previte, The Real Deal
Turnbridge Equities and Dune Real Estate Partners have fully leased their newly developed 172,000-square-foot distribution warehouse at 807 Bank Street in Canarsie, Brooklyn, with Otto Environmental Systems as the third tenant, following a 60,000-square-foot lease to Red Bull and UPS, while the property features a rooftop solar carport system and is one of only two LEED Platinum-designated warehouses on the East Coast.
Inside Leasing at Shvo, Sumaida + Khurana’s Office Projects
By Lidia Dinkova, The Real Deal
Despite Miami Beach’s emerging office market and recent high-profile leases, concerns loom over whether the planned six new office buildings will secure tenants amid a slowdown in demand and changing workspace dynamics.
Funds Are Sitting On Billions In Dry Powder. Will They Actually Spend It
By Matt Wasielewski, Bisnow
Global private equity and venture capital funds currently hold a record $2.6 trillion in uncommitted capital but are largely hesitant to deploy it, waiting for steeper discounts and significant distre