Kenneth Chan signs $29.5M construction loan with CoreVest for 52-unit project in Greenpoint

Kenneth Chan through the entity Magsanus LLC as borrower signed a new construction loan with lender CoreVest American Finance Lender valued at $29.5 million for the 52-unit project at 32 India Street in Greenpoint, Brooklyn.
On the lot, there is a new building project for a 52-unit, 46,785 square-foot R-2 building developed by Kenneth Chan with plans filed June 28, 2018.
The deal closed on March 20, 2023 and was recorded on March 31, 2023. The prior lender was State Bank of Texas which held debt that had an original loan amount of $8.5 million.The property has zero square feet of built space and 45,000 square feet of additional air rights for a total buildable of 45,000 square feet according to PincusCo analysis of city data. The loan price per built square foot is $N/A and the price per buildable square foot is $655 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 Kenneth Chan was Kenneth Chan. The signatory for CoreVest American Finance Lender was Michael Minck.

The property

The 32 India Street parcel has frontage of 150 feet and is 100 feet deep with a total lot size of 15,000 square feet. The zoning is M1-2/R6A which allows for up to 2 times floor area ratio (FAR) for manufacturing and up to 3 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $775,000.

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 not received any significant violations in the last year.

The neighborhood

In Greenpoint, the bulk, or 30 percent of the 22.7 million square feet of commercial built space are walkup buildings, with industrial buildings next occupying 27 percent of the space. In sales, Greenpoint has 2.1 times the average sales volume among other neighborhoods with $716 million in sales volume in the last two years and is the 6th highest in Brooklyn. For development, Greenpoint has 2.5 times the average amount of major developments relative to other neighborhoods and is the 7th highest in Brooklyn. It had 2.6 million square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 11 of the 15 commercial properties representing 60,044 square feet of the 72,619 square feet. The largest owner is Teresa Kozlowska, followed by Maria Blaszkiewicz and then Lawrence R. Link.
On the tax block, there were two new building construction projects totaling 93,651 square feet. The largest is a 52-unit, 46,866-square-foot R-2 building developed by Miriam Chan with plans filed September 26, 2014 and it has not been permitted yet.The second largest is a 52-unit, 46,785-square-foot R-2 building developed by Kenneth Chan with plans filed June 28, 2018 and it has not been permitted yet.

The majority, or 50 percent of the 72,619 square feet of built space are mixed-use buildings, with walkup buildings next occupying 50 percent of the space.

The borrower

The PincusCo database currently indicates that Kenneth Chan owned at least one commercial property in New York City with 98,910 square feet and a city-determined market value of $13.6 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single specialty property. It is located in Brooklyn.

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