Pre-foreclosure roundup: $15M in Chinatown, Park Slope; $10M in Mott Haven

$15M mixed-use residential in Chinatown, Park Slope: A special servicer for a securitized trust alleges a loan with an original principal of $15.4 million and secured by 21-23 Catherine Street in Chinatown, Manhattan, and 26 Park Place in Park Slope, Brooklyn, and owned by affiliates of Conway Capital, is in default.
Case LINK
According to the complaint, “Borrowers failed to comply with the terms and conditions of the Loan Documents and committed defaults thereunder by failing, inter alia, to make the monthly payments due in July, August, September, and October 2024…” The Catherine Street property is “improved by a mixed-use multifamily property totaling 30 residential units and three ground floor retail spaces.”
Conway Capital bought the Chinatown buildings in March 2020 for $14 million. Conway bought the Park Slope building for $2.3 million in August 2020. Then in January 2024, the company refinanced the debt with $15.4 million from UBS, which then packaged the debt into a securitized trust, Series 2024-5C3.

The walkup building with 15 residential units in Chinatown has 12,383 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 23 feet and is 100 feet deep with a total lot size of 2,420 square feet. The lot is irregular. The zoning is R7-2 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $2.4 million. The most recent loan totaled $15.4 million and was provided by UBS on January 17, 2024.

This property was sold with another property by R.A. Cohen & Associates for $14 million to Conway Capital on March 26, 2020.

The 12,383-square-foot property generated revenue of $509,770 or $41 per square foot, according to the most recent income and expense figures.

Direct link to the property’s ACRIS page

$10M office pre-foreclosure Mott Haven: The Blackstone Group alleges a loan with an original principal given to an affiliate of Chestnut Holdings of New York and secured by 332-338 East 149th Street is in default.

Case LINK

The office building in Mott Haven has 48,310 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 75 feet and is 86 feet deep with a total lot size of 6,450 square feet. The zoning is C4-4 which allows for up to 3.4 times floor area ratio (FAR) for commercial and up to 3.44 times FAR for residential. The city-designated market value for the property in 2022 is $7.4 million. This property was purchased for $10.5 million on June 23, 2014. According to the complaint, “Borrower failed to remit payment to Plaintiff for all amounts due and owing under the Loan Documents for the installment due on May 15, 2024… By Notice of Default dated July 29, 2024 (the “Notice of Default”), Plaintiff, through its Special Servicer, notified Borrower and Guarantor of the Payment Default… To date, Borrower and Guarantor have failed to cure the Payment Default, despite being duly notified thereof. 67. As a result of the foregoing, there is now due and owing by Borrower and Guarantor to Plaintiff, pursuant to the Loan Documents, the unpaid principal amount of $8,852,493.”

Direct link to the property’s ACRIS page.