David Halberstam signs $33.5M construction loan with S3 Capital for dev site in Fort Greene

David Halberstam through the entity 340 Myrtle Development LLC as borrower signed a new construction loan with lender S3 Capital through the entity S3 Re 340 Myrtle Funding LLC valued at $24.6 million for a development at 340 Myrtle Avenue in Fort Greene, Brooklyn.

On the lot, there is one active new building construction project for a 43-unit, 33,308 square-foot R-2 building. The project was submitted by Marisol Diaz with plans filed August 23, 2021 and permitted May 9, 2022.

The loan closed on December 8, 2023 and was recorded on December 21, 2023. The prior lender was S3 Capital which held debt that had an original loan amount of $8.9 million.
The signatory for David Halberstam was David Halberstam. The signatory for S3 Capital was Robert Schwartz.

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 three DOB violations, $12,250 in ECB penalties, and $15,800 in OATH penalties in the last year.

The neighborhood

In Fort Greene, The bulk, or 34 percent of the 12.4 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 23 percent of the space. In sales, Fort Greene has 1.8 times the average sales volume among other neighborhoods with $614.8 million in sales volume in the last two years and is the 10th highest in Brooklyn. For development, Fort Greene has 2.4 times the average amount of major developments relative to other neighborhoods and is the 6th highest in Brooklyn. It had 2.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 19 percent of the neighborhood’s built space.

The block

On the tax block of 340 Myrtle Avenue, PincusCo has identified the owners of three of the eight commercial properties representing 38,680 square feet of the 116,488 square feet. The two identified owners are G-Way Management and David Halberstam.
On the tax block, there were two new building construction projects totaling 35,179 square feet. The largest is a 43-unit, 33,308 square-foot residential (R-2) building submitted by Marisol Diaz with plans filed August 23, 2021 and permitted May 9, 2022. The second largest is a one-unit, 1,871 square-foot residential (R-3) building submitted by John Bouratoglou with plans filed January 20, 2021 and it has not been permitted yet.

The majority, or 56 percent of the 116,488 square feet of built space are walkup buildings, with elevator buildings next occupying 33 percent of the space.

The borrower

The PincusCo database currently indicates that David Halberstam owned at least 12 commercial properties with 41 residential units in New York City with 49,805 square feet and a city-determined market value of $11.7 million. (Market value is typically about 50% of actual value.) The portfolio has $97.5 million in debt, with top three lenders as S3 Capital, Valley National Bank, and Bank of Princeton respectively. Within the portfolio, the bulk, or 27 percent of the 49,805 square feet of built space are elevator properties, with mixed-use properties next occupying 16 percent of the space. They are all located in Brooklyn.

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