Blackstone ups debt to $110.8M at Canarsie Plaza with Deutsche Bank, BOM, Barclays

Blackstone Group through the entity Breit Canarsie Owner LLC as borrower signed a refi loan with lender Deutsche Bank, Bank of Montreal, and Barclays valued at $110.8 million for seven properties that make up the regional mall Canarsie Plaza, including the mixed-use building (K8) at 8719 Avenue D, the retail building (K6) at 8725 Foster Avenue, and the retail building (K6) at 856 Remsen Avenue, all in Canarsie, Brooklyn.
The deal closed on May 30, 2025 and was recorded on June 11, 2025. The prior lender was New York Life Insurance Company which held debt that had an original loan amount of $96.6 million.

The seven properties have 288,407 square feet of built space and 284,961 square feet of additional air rights for a total buildable of 519,026 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $384 and the price per buildable square foot is $213 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The signatory for Blackstone Group was Brian Lin . The signatory for Deutsche Bank , Bank of Montreal , and Barclays was Stephen H. Choe, David Goodman , Michael Birajiclian , and Adam Scotto .

Prior sales and revenue

Out of the seven properties, six with a total of 288,407 square feet of built space generated revenue of $19.8 million per year.

The property

The mixed-use buildings in Canarsie have 288,407 square feet of built space and 284,961 square feet of additional air rights for a total buildable of 519,026 square feet according to a PincusCo analysis of city data. The zoning is M1-1 which allows for up to 1 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $103.8 million. The most recent loan totaled $96.6 million and was provided by New York Life Insurance Company on January 24, 2023.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have received $10,465 in OATH penalties in the last year.

Development

For the tax lot buildings, four out of the seven buildings received a initial certificate of occupancy in the last ten years. There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The neighborhood

In Canarsie, The bulk, or 28 percent of the 11.7 million square feet of commercial built space are elevator buildings, with industrial buildings next occupying 25 percent of the space. In sales, Canarsie has the 39th highest sale turnover among other neighborhoods in Brooklyn with $75.4 million in sales volume in the last two years. For development, Canarsie has had very little major development activity relative to other neighborhoods.It had 60,260 square feet of commercial and multi-family construction under development in the last two years, which represents 0.51 percent of the neighborhood’s built space.

The block

On the tax block of 8719 Avenue D, PincusCo has identified the owners of eight of the 11 commercial properties representing 288,407 square feet of the 548,407 square feet. The two identified owners are Blackstone Group and LIRR.
There are no active new building construction projects on this tax block.

The majority, or 89 percent of the 548,407 square feet of built space are mixed-use buildings, with retail buildings next occupying 11 percent of the space.

The borrower

The PincusCo database currently indicates that Blackstone Group owned at least 44 commercial properties with 14,164 residential units in New York City with 18,789,463 square feet and a city-determined market value of $3.6 billion. (Market value is typically about 50% of actual value.) The portfolio has $2.3 billion in debt, with top three lenders as Morgan Stanley, NYC Housing Development Corporation, and Wells Fargo respectively. Within the portfolio, the bulk, or 81 percent of the 18,789,463 square feet of built space are elevator properties, with office properties next occupying 13 percent of the space. The bulk, or 86 percent of the built space, is in Manhattan, with Queens next at 11 percent of the space.

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