Energy company Sprague signs $150M refi with Rabobank for industrial in Mott Haven
Energy company Sprague Energy through the entity Sprague Operating Resources LLC as borrower signed a refi loan with lender Rabobank through the entity Cooperatieve Rabobank U.A., New York Branch valued at $150 million for 11 industrial properties including the industrial building (F8) at 220 Locust Avenue, 1040 East 149th Street, industrial building (F8) at 939 East 138th Street in Mott Haven, Bronx, and industrial building (F8) at 184 Locust Avenue in Mott Haven, Bronx.
The deal closed on September 4, 2024 and was recorded on September 13, 2024.
The signatory for Sprague was Paul Scoff. The signatory for Rabobank was Edward Santos and Andres Munoz. Rabobank is a Dutch global bank.
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 $100 in OATH penalties in the last year.
Development
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 Mott Haven, The bulk, or 45 percent of the 41.7 million square feet of commercial built space are elevator buildings, with industrial buildings next occupying 23 percent of the space. In sales, Mott Haven has near average sales volume among other neighborhoods with $296.6 million in sales volume in the last two years and is the highest in Bronx. For development, Mott Haven has 1.6 times the average amount of major developments relative to other neighborhoods and is the 2nd highest in Bronx. It had 1.7 million square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.
The block
On the tax block of 939 East 138th Street, PincusCo has identified the owners of five of the five commercial properties representing 22,824 square feet of the 22,824 square feet. The largest owner is Hartree Partners, followed by Sprague and then City Of New York.
There are no active new building construction projects on this tax block.
The majority, or 89 percent of the 22,824 square feet of built space are industrial buildings, with specialty buildings next occupying 11 percent of the space.
The borrower
The PincusCo database currently indicates that Sprague owned at least seven commercial properties in New York City with 16,561 square feet and a city-determined market value of $13 million. (Market value is typically about 50% of actual value.) The portfolio has $56 million in debt, borrowed from MUFG Union Bank. Within the portfolio, the bulk, or 55 percent of the 16,561 square feet of built space are specialty properties, with industrial properties next occupying 45 percent of the space. They are all located in Bronx.
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