NEW YORK CITY—Trinity Place Holdings Inc. has signed an option to acquire a recently completed 12-story rental apartment project in the Park Slope section of Brooklyn.
The New York City-based real estate investment firm has agreed to pay $81 million for the 105-unit property at 237 11th St. Recently, Starbucks opened one of its first locations in Park Slope in a portion of the 6,264 square feet of retail space at the property. Trinity Financial says its purchase of the multifamily building is expected to close in the first quarter of 2018.
Adam America led a development team that built the property, which also included Slate Property Group and Naveh Shuster Group. A spokesman for Adam America says that approximately 30% of the available units at 237 11th St. have been sold. Adam America recently completed construction on 251 1st St. in Park Slope, a 12-story, 44-unit project. At press time only four units remain to be sold at that property.
The 237 11th St. building benefits from a 15-year real estate tax abatement under Real Property Tax Law Section 421-a. All the units in the building are market rate, but are subject to rent stabilization guidelines, according to Trinity Place.
Following the closing and pursuant to a separate agreement, an affiliate of the seller will continue to manage and promote the building for what Trinity describes as a limited period.
Trinity Place also reports that it closed on the sale of a retail property in Westbury, NY for $16 million. The sale resulted in an estimated gain of $3.9 million and generated approximately $15.2 million in net proceeds to Trinity Place Holdings. The net proceeds from this sale will be used to partially fund the 237 11th St. acquisition, the company reports.
Last month, demolition was completed on Trinity Place Holdings’ 77 Greenwich St. development, a mixed-use luxury residential condominium project in Manhattan.
In December 2016, Trinity Place Holdings, Inc. and joint venture partner Pacolet Milliken Enterprises, Inc. closed on the acquisition of The Berkley, a newly built, 95-unit apartment building in Williamsburg, Brooklyn for $68.875 million.