July 18, 2023 By Michael Dorgan
The developer behind an 8-story, mixed-use building in the Dutch Kills section of Long Island City has closed on an $85 million refinancing deal for the property.
The refinancing will be used to retire an existing construction loan on the property, according to a spokesperson for Slate. PCCP, a Manhattan-based private equity firm, is the sole lender for the financing package
The refinancing of loans on new developments is common in the industry in that developers often secure short-term loans to cover the costs of the build. Then, when construction is finished, a new loan is secured to pay off the initial loan.
Dutch House was completed in early 2022 and is fully leased, the spokesperson said. It was designed by Aufgang Architects, an architectural firm based in Rockland County.
The development consists of studios, one-bedroom, and two-bedroom apartments, all of which feature hardwood floors, as well as washers and dryers. Fifty-six apartments have been set aside as affordable.
The building comes with a fitness center, a recreation room with a pool table, bike storage, a lobby with concierge service, as well as a rooftop terrace with barbeque grills that has views of the Manhattan skyline. There is around 21,000 square feet of retail space on the ground floor.
The building is about a block and a half away from the 39th Avenue-Dutch Kills subway station that serves the N and W trains.
The property was developed by Slate Property Group and its partner Avenue Realty Capital (ARC), a Manhattan-based real estate firm.
Dutch House is not the first time the firms have joined forces.
Slate and ARC have partnered in nine residential transactions in total with a combined value of around $450 million. In June, the partnership completed the purchase of 600 Columbus Ave., a 166-unit multifamily building on Manhattan’s Upper West Side.
And last year the firms jointly purchased a development site at 159 Boerum St. in Brooklyn with plans to construct 161 residential units, 30% of which will be affordable.