Metropolitan Bank Holding Supports Affordable Housing Growth with 240 Willoughby Street Acquisition
- Metropolitan Bank Holding collaborates on a $209.5 million acquisition to enhance affordable housing availability in NYC.
- The project includes 463 units, with 147 designated for affordable housing, addressing diverse renter needs.
- This acquisition underscores the importance of strategic partnerships in supporting sustainable urban development and housing initiatives.
Metropolitan Bank Holding: The Growth of Affordable Housing in New York City
In a significant move for New York City's real estate landscape, Fetner Properties, MCB Real Estate, and Farallon Capital Management acquire the residential rental building at 240 Willoughby Street in Fort Greene, Brooklyn, for $209.5 million. This acquisition reflects an ongoing trend towards enhancing the availability of affordable housing in urban centers. The property comprises 463 residential units, with 147 specifically designated for affordable housing, underscoring a commitment to meet the diverse needs of renters in one of the city's most dynamic neighborhoods. The building also boasts 30,000 square feet of amenities, making it an attractive option for a range of tenants.
The financing for this acquisition includes a senior loan of $141.5 million from M&T Realty Capital Corporation, which highlights the confidence in the project's potential. The completion of construction before tenant leasing began allowed the joint venture to strategically position the property in the market. Following its acquisition, leasing efforts began over Memorial Day weekend, with 25% of the units already rented, signaling strong demand in the area. Hal Fetner, President and CEO of Fetner Properties, expresses optimism about New York City's real estate market, emphasizing the company's ongoing commitment to providing quality affordable and market-rate housing options.
P. David Bramble, Managing Partner at MCB Real Estate, points out the strategic importance of 240 Willoughby as a premier asset in a high-growth submarket. The collaboration with Fetner and Farallon not only aims to unlock long-term value but also highlights a strategic approach to navigating the competitive New York City real estate market. The building's proximity to Fort Greene Park enhances its appeal, offering residents a desirable outdoor amenity that aligns with the evolving preferences of today’s renters. With ongoing developments and acquisitions like this, the future of affordable housing in New York City appears promising.
In related news, Fetner Properties continues to expand its footprint in the city, having developed or acquired over 1,500 homes across Brooklyn, Manhattan, and Queens in the last two years. This growth reflects the company's proactive approach to addressing housing shortages and enhancing community living standards within the New York metropolitan area. As urban living demands shift, the focus on creating accessible rental options is increasingly vital to supporting a diverse population.
The acquisition of 240 Willoughby Street not only signifies a robust investment in a prime location but also reinforces the critical role of affordable housing initiatives in urban development. As the city evolves, partnerships like these are essential for fostering sustainable growth and meeting the needs of its residents.
