Lower East Side Affordable Housing Project Lands $162M Loan

David Picket, CEO of the Gotham Organization, and a representation of the Broome Street Development Complex (Gotham; Community at Broome)

UPDATED, December 28, 2020, 3:20 p.m .: A mixed-use building at the Lower East Side factories received a $ 162.4 million construction loan from Wells Fargo and the US Bank.

The loan is for 55 Suffolk Street, which is part of the two-building Broome Street Development Complex (including 64 Norfolk Street) operated by a joint venture between the Gotham Organization and Goldman Sachs Urban Investment Group Commercial Observer reported.

In total, the 400,000 square meter project – one of the largest new real estate projects this year – will include around 500 rental apartments, including 209 affordable units and 115 units for senior citizens. The Chinese American Planning Council, a nonprofit that provides educational, social, and community services to Asian Americans, will also be headquartered within the complex and occupy 40,000 square feet at 55 Suffolk Street.

The project has been in progress for several years after the Beth Hamedrash Hagadol Synagogue, which previously stood on the site, was destroyed by fire. A new synagogue with a cultural heritage center will occupy part of the building on Norfolk Street.

In addition to the debt, the Suffolk Street building, which is the first phase of the project, has secured an equity commitment of $ 70 million. Phase two of the project at 64 Norfolk Street has secured $ 3 million in low-income housing tax credits in the second phase of development, sources told Commercial Observer. [CO] – Akiko Matsuda

CORRECTION: An earlier version of this story stated that the $ 162 million loan was for the entire complex. It’s only for the building at 55 Suffolk Street.

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