Rabsky, Chetrit sign $165M construction loan with G4 for 58 units in Lenox Hill

Rabsky Group and Chetrit Group through the entity CF East 72 Owner LLC as borrower signed a new construction loan with lender G4 Capital Partners through the entity G4 18222 LLC valued at $165 million for the development project at 259 East 71st Street in Lenox Hill, Manhattan.

On these lots, there are two active new building construction projects, totaling 170,825 square feet. The largest, M00785688, is a new building project for a 54-unit, 166,764 square-foot residential (R-2) building submitted by Chetrit Group and filed by Kevin K. Kim with plans filed November 2, 2022 and it has not been permitted yet. The second largest, M00786020, is a new building project for a four-unit, 4,061 square-foot residential (R-2) building submitted by Kevin K. Kim with plans filed November 2, 2022 and it has not been permitted yet.
The deal closed on March 6, 2025 and was recorded on March 19, 2025. The prior lender was G4 Capital Partners which held debt that had an original loan amount of $61.2 million.
The signatory for Rabsky Group and Chetrit Group was Shimon Dushinsky . The signatory for G4 Capital Partners was Robyn Sorid.

Last year, Rabsky Group joined Chetrit Group in this project, the Commercial Observer reported. Yimby reported on new renderings for the site in 2023.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Meyer Chetrit, head officer and Jo Chetrit, officer. The business entities are Plaza Management and Cf East 72 Owner Llc.

The property

The development building with 28 residential units in Lenox Hill has 26,797 square feet of built space and 139,960 square feet of additional air rights for a total buildable of 139,960 square feet according to a PincusCo analysis of city data. The parcel has frontage of 102 feet and is 59 feet deep with a total lot size of 6,068 square feet. The zoning is R10A which allows for up to 10 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $8.1 million. The most recent loan totaled $70.7 million and was provided by G4 Capital Partners on November 10, 2023. The property has 6 rent regulated units according to city tax records from 2022.

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 two DOB violations and $440 in OATH penalties in the last year.

Development

The neighborhood

In Lenox Hill, The bulk, or 34 percent of the 53.3 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 30 percent of the space. In sales, Lenox Hill has the highest sale turnover among other neighborhoods in the city with $4.1 billion in sales volume in the last two years. For development, Lenox Hill has 2.9 times the average amount of major developments relative to other neighborhoods and is the 9th highest in Manhattan. It had 3.3 million 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 the tax block of 260 East 72nd Street, PincusCo has identified the owners of seven of the 11 commercial properties representing 527,919 square feet of the 692,949 square feet. The largest owner is Carlyle Property Management Group, followed by Charles Alpert (271) and then Chetrit Group.
On the tax block, there were two new building construction projects totaling 170,825 square feet. The largest is a 166,764 square-foot residential (R-2) building submitted by Chetrit Group and filed by Kevin K. Kim with plans filed November 2, 2022 and it has not been permitted yet. The second largest is a 4,061 square-foot residential (R-2) building submitted by Kevin K. Kim with plans filed November 2, 2022 and it has not been permitted yet.

The majority, or 78 percent of the 692,949 square feet of built space are elevator buildings, with specialty buildings next occupying 20 percent of the space.

The borrower

The PincusCo database currently indicates that Chetrit Group owned at least 39 commercial properties with 2,287 residential units in New York City with 4,881,164 square feet and a city-determined market value of $928.3 million. (Market value is typically about 50% of actual value.) The portfolio has $1.7 billion in debt, with top three lenders as Bank of Montreal, Starwood Mortgage Capital, and G4 Capital Partners respectively. Within the portfolio, the bulk, or 47 percent of the 4,881,164 square feet of built space are elevator properties, with office properties next occupying 26 percent of the space. The bulk, or 71 percent of the built space, is in Manhattan, with Queens next at 25 percent of the space.
The PincusCo database currently indicates that Rabsky Group owned at least 32 commercial properties with 3,423 residential units in New York City with 2,127,964 square feet and a city-determined market value of $305.1 million. (Market value is typically about 50% of actual value.) The portfolio has $2.4 billion in debt, with top three lenders as Bank Leumi, Apollo Global Management, and Madison Realty Capital respectively. Within the portfolio, the bulk, or 81 percent of the 2,127,964 square feet of built space are elevator properties, with specialty properties next occupying 8 percent of the space. The bulk, or 81 percent of the built space, is in Brooklyn, with Queens next at 19 percent of the space.

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