Affiliates of New York City-based Joy Construction Corp. and investment-development firm Maddd Equities LLC have acquired the five-story American Self Storage facility in Brooklyn, N.Y., for $60 million from Warren Diamond. The companies intend to temporarily operate the building as self-storage before converting it into a 235,000 square-foot residential building, according to a source.
The property is in the Ft. Greene neighborhood at 202-208 Tillary Street. It was recently rezoned from R-6 to C6-4, allowing the developers to nearly double the size from its current 120,000 square feet. The project will operate under the city’s mandatory, inclusionary policy to provide 25 percent of its residential units as permanently affordable housing, a source reported.
The property is just east of Flatbush Avenue in downtown Brooklyn, which has had several former industrial buildings redeveloped into multi-family use, a source reported. The site is within a half-mile of several subway options.
The companies will use a $30 million loan to help fund the acquisition. They’re also using $21 million in financing to acquire a 27,675-square-foot parking lot in the Bronx, N.Y., for $35 million. They plan to build two affordable-housing towers at 1150-1159 River Ave., according to a source.
Sources:
GlobeSt.com, Maddd Equities to Convert Parking Lot and Self-Storage to Housing
ABL Advisor, Natixis Provides $30MM Acquisition Financing for Brooklyn Self-Storage Facility
