Brookfield Properties has scored a refinancing on a major project.
JPMorgan and Citibank have backed the developer’s Eagle + West project in Greenpoint, Brooklyn, to the tune of $400 million.
The property at 1 Eagle Street is a 745-unit double high-rise with a distinctive stacked-box design. The building opened for leasing in 2022 as part of Brookfield’s “Greenpoint Landing,” a master-planned development with an aim of 5,500 residential units. There are 191 rent-regulated units in the combined two buildings, according to 2023 city records.
The loan from JPMorgan and Citi replaces a $400 million loan from Blackstone. The deal, first reported by PincusCo, closed on June 11.
Brookfield bought into the site in 2018 in a deal with owner Park Tower Group. Together with another site, the joint venture stake was valued at $148 million. The two companies financed that deal with an $89 million loan from Industrial and Commercial Bank of China.
The building advertises itself as luxury and charges accordingly, with a recent studio listed for $4,071 a month. However, renters may not be wooed. The building has failed to address maintenance issues for its high-flying clientele, tenants told Curbed in April. The amenities, including a hot tub and a cycling studio, are poorly maintained and rarely cleaned, they said.
Brookfield, a major investor in New York City real estate, appears to be on the verge of several deals in Manhattan. The private equity giant was recently eyeing a 49 percent stake in the 15-story office tower at 63 Madison Avenue for around $400 million. In May, it entered into a contract to sell a Soho retail and office property at 200 Lafayette Street for $200 million.
In addition to the Greenpoint development, Brookfield is also behind the 1350-unit Bankside megadevelopment in Mott Haven, Bronx, as well as five luxury buildings in Lower Manhattan.
Outside of New York, things are shakier for the Canadian firm. Earlier this month, Brookfield offloaded a Downtown Los Angeles office building for $210 million — $40 million short of its debt tied to the property.
Brookfield did not respond to a request for comment.
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