Crosstown Companies signs $7M initial loan with HarborOne Bank in Clinton Hill

Crosstown Companies through the entity Superior Associates, LLC as borrower signed an initial loan with lender HarborOne Bank valued at $7 million for the project at 544-552 Clinton Avenue in Clinton Hill, Brooklyn.
The deal closed on November 2, 2022 and was recorded on November 25, 2022.
The signatory for Crosstown Companies was Anthony Musto.

The property

The 544-552 Clinton Avenue parcel has frontage of 179 feet and is 97 feet deep with a total lot size of 10,447 square feet. The lot is irregular. The zoning is R9 which allows for up to 7.52 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $650,000.The most recent loan totaled $126.2 million and was provided by MF1 Capital on November 10, 2022.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $5,000 in ECB penalties and $5,000 in OATH penalties in the last year.

Development

On the lot, there is a new building project for a 264-unit, 288,090 square-foot R-2 building developed by Matthew Cordivari of Hope Street Capital with plans filed April 8, 2019 and permitted September 14, 2020.

The neighborhood

In Clinton Hill, the bulk, or 31 percent of the 10.3 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 18 percent of the space. In sales, Clinton Hill has near average sales volume among other neighborhoods with $310.8 million in sales volume in the last two years and is the 22nd highest in Brooklyn. For development, Clinton Hill has had very little major development activity relative to other neighborhoods.It had 574,801 square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of five of the 19 commercial properties representing 311,641 square feet of the 373,052 square feet. The largest owner is Hope Street Capital, followed by Daten Group and then Elizabeth McDonald.
On the tax block, there were four new building construction projects totaling 622,184 square feet. The largest is a 20-unit, 288,090-square-foot R-2 building developed by Matthew Cordivari with plans filed September 26, 2018 and permitted August 3, 2020. The second largest is a 264-unit, 288,090-square-foot R-2 building developed by Matthew Cordivari with plans filed April 8, 2019 and permitted June 16, 2020.

the majority, or 86 percent of the 373,052 square feet of built space are elevator buildings, with walkup buildings next occupying 10 percent of the space.

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