TF Cornerstone gets $385M loan for B12/B13 construction

TF Cornerstone scores $385M loan for Prospect Heights apartment towers, The Real Deal reported 7/15/21, citing a press release from the law firm Rosenberg & Estis, which represented TF Cornerstone in the transaction. From the article:

TF Cornerstone scored a $385 million construction loan from Wells Fargo for its massive Pacfic Park development project in Prospect Heights.

The financing allows the developer to move forward with its plans to build two apartment towers totaling 558 market-rate units and 240 affordable units at 595 Dean Street, two blocks from the Barclays Center.

To be precise, it's not TF Cornerstone's "massive Pacific Park development project" but rather TF Cornerstone's two-tower project within the larger Pacific Park project, which has master developer Greenland Forest City Partners.

And the address 595 Dean Street (aka B13) refers to one of the two towers; the other is 615 Dean (aka B12), though they will share a lobby and other functions.

The rent level of the 240 affordable units has not been announced, but the options include all middle-income or mostly middle-income. We should know more by mid-2023, when the buildings open.

Timing questions

It's unclear why exactly the announcement was made--was the loan just approved or perhaps it's because the development is going vertical?

But unmentioned is the significant government assistance that has enabled this specific project, notably 96,000 square feet of below-grade space, once destined for parking, that was allowed to be repurposed, without any approval process, as "recreational space," a category distinct from commercial or retail. That will deliver a large Chelsea Piers fitness center and fieldhouse.

Also, less dramatic but certainly meaningful, the developer has been able to meet its schedule--and thus qualify for a loan?--thanks to after-hours work on Saturday starting at 9 am or even 7 am, and on weekdays starting at 6 am.