Fetner Properties, MCB Real Estate, and Farallon Capital Acquire 240 Willoughby Street in Brooklyn for $209 Million

Major Acquisition in Brooklyn Real Estate Landscape

In a significant move in the real estate market, Fetner Properties has partnered with MCB Real Estate and Farallon Capital Management to acquire 240 Willoughby Street, located in the vibrant Fort Greene neighborhood of Brooklyn. The deal, valued at an impressive $209.5 million, marks a crucial step in the trio's ambition to enhance the housing landscape in New York City.

Overview of the Acquisition

This recent acquisition involves assuming a ground lease and purchasing a residential building that comprises 463 units. Impressively, 147 of these units are designated as affordable housing, making it a vital contribution to the community's housing needs. The purchase took place post-construction completion, meaning the building is now ready for residents, reflecting the swift and strategic execution by the involved parties.

Hal Fetner, President and CEO of Fetner Properties, expressed enthusiasm about the neighborhood's positive response to the building, having already leased 25% of the units since opening. Fetner stated, "This rapid lease-up shows how much the neighborhood has embraced 240 Willoughby. We are very bullish on New York City..."

The Role of Key Players

The transaction drew upon the expertise of JLL, which played a pivotal role in representing both the seller and the new joint venture partners, ensuring a smooth transition and financing. MCB Real Estate showcased its strong history of urban investments, rapidly underwriting and executing the acquisition due to the property's unique features and high growth potential.

P. David Bramble, Managing Partner at MCB Real Estate, articulated the strategic value of this acquisition by stressing that the building stands out among competing properties and is excellently situated for today's renters. Bramble noted, "Partnering with Farallon and Fetner brings together a powerhouse team to unlock long-term value..."

Amenities and Living Experience

One of the standout features of 240 Willoughby is its prime location adjacent to Fort Greene Park, allowing residents to enjoy a park-like atmosphere right outside their door. The building itself offers an array of amenities across more than 30,000 square feet, catering to diverse lifestyles. Residents will find a business lounge, yoga studio, fitness center, and a pet spa, among other thoughtful offerings.

Apartments in the building range from studios to two-bedrooms, each designed to provide a modern living experience complete with in-unit washer/dryers, premium finishes, and expansive floor-to-ceiling windows that frame stunning city views.

On the upper floors, distinctive penthouse units provide luxurious living options with large private terraces, enabling residents to fully enjoy the breathtaking skyline and outdoor space, a rarity in urban settings.

Future Outlook

This acquisition aligns with Fetner Properties' ongoing commitment to developing and managing quality residential properties in New York City. Over the past two years, the company has successfully acquired or developed more than 1,500 housing units across Brooklyn, Manhattan, and Queens, positioning itself as a key player in the local real estate market.

In conclusion, the investment by Fetner Properties, MCB Real Estate, and Farallon Capital in 240 Willoughby Street is not merely a financial transaction but a meaningful contribution to enriching the fabric of Fort Greene’s community. By providing a mix of affordable and market-rate housing, the joint venture demonstrates a proactive approach to addressing the pressing housing needs in one of New York City's most dynamic neighborhoods. The real estate community will undoubtedly be watching how this venture shapes future developments in the region.