Rockrose signs $249.4M refi with Wells Fargo for 709-unit LIC rental

Rockrose Development through the entity Linc Lic L.L.C. as borrower signed a refi loan with lender Wells Fargo valued at $249.4 million for the 709-unit residential elevator building (D6) at 43-10 Crescent Street in Long Island City, Queens.
The deal closed on November 1, 2024 and was recorded on November 15, 2024. The prior lender was Series 2014-C19 which held debt that had an original loan amount of $240 million.The property has 731,391 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $341 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 Rockrose Development was Robert A. Brancato. The signatory for Wells Fargo was Christian Adrian.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Joseph Flanagan, head officer and Anthony Grimaldi, officer. The business entity is Linc Lic Llc.

The property

The residential elevator building with 709 residential units in Long Island City has 731,391 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 200 feet and is 319 feet deep with a total lot size of 48,550 square feet. The lot is irregular. The zoning is M1-6/R10 which allows for up to 10 times floor area ratio (FAR) for manufacturing and up to 10 times FAR for residential with inclusionary housing. The property has a 421A exemption that started in 2013 and expires in 2028. The city-designated market value for the property in 2022 is $163.7 million. The property has 709 rent regulated units according to city tax records from 2023.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received one housing violation and $2,450 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on July 26, 2013. There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of one of the two commercial properties representing 731,391 square feet of the 1,005,824 square feet. The identified owner is Rockrose Development.
There are no active new building construction projects on this tax block.

The majority, or 73 percent of the 1 million square feet of built space are elevator buildings, with office buildings next occupying 27 percent of the space.

The borrower

The PincusCo database currently indicates that Rockrose Development owned at least 33 commercial properties with 6,526 residential units in New York City with 6,446,605 square feet and a city-determined market value of $1.6 billion. (Market value is typically about 50% of actual value.) The portfolio has $2.1 billion in debt, with top three lenders as Wells Fargo, MetLife, and Deutsche Pfandbriefbank respectively. Within the portfolio, the bulk, or 72 percent of the 6,446,605 square feet of built space are elevator properties, with D4 properties next occupying 14 percent of the space. The bulk, or 42 percent of the built space, is in Manhattan, with Queens next at 36 percent of the space.

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