NEW YORK CITY — Alloy Development and The Vistria Group have closed on $535 million in construction financing for the development of One Third Avenue, a 583-unit mixed-income high-rise that comprises Phase II of the Alloy Block development in Brooklyn. The 62-story community will join buildings developed in the first phase of the project — 505 State Street, a mixed-use community, and 489 State Street, a public elementary school. Once complete, the Alloy Block will be home to a total of 1,000 residences, including approximately 200 affordable housing units.
Vistria is investing approximately $120 million in equity, and Kayne Anderson Real Estate is providing $375 million of debt. Sources of the remaining funds were not disclosed nor was a construction completion date.
One Third Avenue will deliver 153 affordable units, with rents starting at $1,023 per month. Apartments will be located at the top of the building from floors 11 to 60. Additional uses include 60,000 square feet of office space and 30,000 square feet of retail.
The project is an adaptive reuse of two historic buildings from the 1800s on State and Schermerhorn streets, along with a new building on Third Avenue.