JLL secures $520m capitalization for Brooklyn waterfront mixed-use development
JLL’s Capital Markets group has secured $520 million in capitalization for the development of Sackett Place and Society Brooklyn, an impressive luxury waterfront mixed-use community in Gowanus, Brooklyn.
The under-construction project consists of two towers, spanning 21 stories, and offering a total of 517 multi-housing units along with 10,000 square feet of retail space.
JLL acted on behalf of the borrower, a joint venture between Property Markets Group (PMG) and Carlyle, to arrange the financing for the project. This involved securing a $335 million construction loan and facilitating the project’s $165 million limited partner (LP) equity.
Positioned at 267 Bond St. and 510 Sackett St., Sackett Place and Society Brooklyn are strategically located in Gowanus, specifically at the corner of Bond and Union Streets.
The towers boast a prime waterfront view overlooking the iconic Gowanus Canal and are situated within the highly sought-after Carroll Gardens neighborhood. The development’s location is further enhanced by its proximity to essential transportation infrastructure, with the Carroll Street Subway Station and Union Street Station just four blocks away.
JLL’s Capital Markets group secures $520m capitalization for Brooklyn waterfront mixed-use development. Photo courtesy of PRNewswire/JLL.
These stations provide convenient one-stop service to Manhattan in less than 15 minutes. Additionally, the project is less than a mile away from Smith Street, Atlantic Avenue, and Bergen Street, renowned for their high street retailers, major financial institutions, and notable dining establishments. Notably, the residential community is part of the Gowanus rezoning initiative, which emphasizes the provision of permanent affordable housing.
The Capital Markets Advisory Team at JLL, led by Senior Managing Directors Christopher Peck and Andrew Scandalios, played a pivotal role in facilitating the financing for the development. The team also comprised Managing Director Peter Rotchford, Director Nicco Lupo, Senior Managing Directors Rob Hinckley and Jeff Julien, and Vice President Jonathan Faxon.
With the successful securing of $520 million in capitalization, Sackett Place and Society Brooklyn are well-positioned to realize their vision of becoming a premier luxury mixed-use community in Brooklyn. The development promises to provide exceptional living spaces, retail amenities, and contribute to the ongoing revitalization of the Gowanus area.
Christopher Peck — JLL Senior Managing Director said: “Developments with an affordable component continue to make sense to lenders seeking to deploy equity in a highly fractured market.
“With its best-in-class sponsors and strong fundamentals, 267 Bond St. / 510 Sackett St. is the type of mixed-used venture that remains highly appealing to investors, and we are thrilled to have completed the transaction.”