Tidal Real Estate signs $29M refi with BrightSpire for four properties in Williamsburg

Tidal Real Estate Partners through the entity Grand/Wythe Owner LLC as borrower signed a refi loan with lender BrightSpire Capital through the entity BrightSpire Credit 7, LLC valued at $29 million for four properties including the property at 326 Wythe Avenue in Williamsburg, Brooklyn, rental condo at 57 South 1st Street in Williamsburg, Brooklyn, and midblock mixed-use building at 70 Grand Street in Williamsburg, Brooklyn.
The deal closed on May 3, 2022 and was recorded on May 17, 2022. The prior lender was Deutsche Bank which held debt that had an original loan amount of $30 million. The four properties have 28,241 square feet of built space and 2,585 square feet of additional air rights according to PincusCo analysis of city data. The loan price per built square foot is $1,026 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 Tidal Real Estate Partners was Kenneth Copeland. The signatory for BrightSpire Capital was David A. Palame.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 326 Wythe Avenue.

Prior sales and revenue

Out of the four properties, one with a total of 28,241 square feet of built space generated revenue of $135,044 per year.

The property

The 326 Wythe Avenue parcel has a total lot size of 23,528 square feet. The city-designated market value for the property in 2022 is $3.7 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $1,000 in OATH penalties in the last year.

Development

For the tax lot buildings, one out of the four buildings received an initial certificate of occupancy in the last ten years. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The block

On the tax block of 326 Wythe Avenue, PincusCo has identified the owners of one of the 25 commercial properties representing 3,000 square feet of the 112,391 square feet. The identified owner is Andrew Luan. There are no active new building construction projects on this tax block.

The majority, or 60 percent of the 113,378 square feet of built space are mixed-use buildings, with industrial buildings next occupying 26 percent of the space.

Surrounding

Within a 400-foot radius of 326 Wythe Avenue, PincusCo identified two commercial real estate items of interests occurred over the past 24 months.
Of those two items, two were loans above $5 million totaling $65.8 million. The most recent of the two was Bruman Realty which borrowed $40.8 million from Madison Realty Capital secured by a vacant development site (V1) on 296 Wythe on January 20, 2022.

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