A New York City real estate developer has secured a $135 million construction loan to build a condominium tower in one of Brooklyn's most sought-after neighborhoods.
Charney Cos. said the 45-story tower will feature 182 units at 95 Rockwell Place. The loan comes from Florida-based BH3 Fund Advisors and Madison Realty Capital of New York. The new condo tower will be in Brooklyn's Fort Greene neighborhood, a community dominated by single-family homes, the developer said in a statement.
Securing the loan was "a pivotal moment" for Charney and, with the funding in hand, the company can now "contribute a thoughtful addition to the Brooklyn skyline," Justin Pelsinger, Charney's chief operating officer, said in a statement.
Brooklyn home prices and population soar
Plans for Charney's new tower arrive as New York City is experiencing surging demand for housing, particularly in Brooklyn. The average sale price for a home in New York's second-largest borough reached a record $1.28 million last quarter. Real estate agents in the borough say a new wave of New Yorkers is clamoring to call Brooklyn home, and that's driving up prices.
Brooklyn condos, in particular, have sold for an average of $1.31 million, while co-ops closed at $668,012, according to market data from brokerage Douglas Elliman.
Fort Greene is near downtown Brooklyn and is known for being the borough's epicenter of arts, literature, and music. It has historically been a Black neighborhood, but its profile has changed in recent years due to gentrification and an influx of newcomers. Most of the housing stock in Fort Greene is a mix of Greek Revival townhouses, converted brownstones, historic lofts and renovated duplexes.
95 Rockwell is one of many New York housing developments that Charney is building. The company said it has more than 3,000 units in the pipeline across Brooklyn, Manhattan, and Queens.
Officials from Madison Realty and BH3 said they funded Charney's new tower because they believe the building will attract residents and be a strong asset to Brooklyn and the larger New York City area.
"95 Rockwell is a well-located, highly amenitized property within proximity of Brooklyn's premier dining and cultural destinations," Josh Zegen, co-founder of Madison Realty, said in a statement.
BH3 provided funding in part because the Fort Greene "area is primed for a thoughtful new condominium," Adam Falk, a principal at BH3, said in a statement. We expect 95 Rockwell will be another well-received and successful addition to the rapidly evolving neighborhood."
City scrambles to add housing units
The Big Apple is facing a massive housing shortage created mostly by the city's rising population. The number of residents grew from 8.1 million in 2010 to 8.8 million in 2020, according to state statistics. However, the city has added roughly only 61,000 new housing units across the boroughs between 2021 and 2023, according to the latest city housing survey.
To address the issue, Mayor Eric Adams has ordered city officials to look for potential land for new housing developments, particularly on plots the city already owns. The city also approved a series of zoning law changes late last year under its City of Yes plan that's slated to add 80,000 housing units over the next 15 years.
Brooklyn saw its population jump from 2.5 million in April 2010 to 2.7 million in 2020, according to U.S. Census Bureau data. However, Brooklyn added only 21,000 new homes between 2021 and 2023, according to the latest city housing survey.
Charney's new tower will offer one-, two- and three-bedroom units. The building will give residents access to gardens, a gym, a steam room, a spa, co-working facilities, a cafe and private party space. Charney demolished the building that stood at 95 Rockwell in May 2024.
The new tower will be finished in the fourth quarter of 2027, Charney said.