Arrow Real Estate Advisors structures $8.8 million construction loan for multifamily development

Brooklyn, NY Arrow Real Estate Advisors has arranged an $8.8 million construction loan for the development of a new multifamily property located at 1532 Bergen St. in Crown Heights. The financing was provided by S3, a debt fund lender. The transaction was led by Arrow Real Estate Advisors’ Morris Betesh, founder and managing partner, Israel Mermelstein, senior director, and Louis Halperin, associate.

“It was a privilege to represent a new client as they embark on their largest development project,” said Israel Mermelstein, senior director of Arrow Real Estate Advisors. “S3 proved to be the ideal lending partner for the sponsor, and we were pleased to facilitate the expansion of that relationship. By engineering a highly customized loan structure tailored to the unique requirements of this transaction, we ensured a seamless execution that aligned perfectly with the sponsor’s strategic goals for this asset.”

The loan will fund the construction of a six-story, 27,136 s/f mixed-use building comprising 25 residential units, two commercial spaces, and eight parking spaces. Planned amenities include a fitness center, laundry room, and roof terrace.

The sponsor acquired the property in September 2025 and has since advanced the project through the approval process, including securing additional floor area through the Uniform Land Use Approval Procedure (ULURP). Demolition is already underway, with sitework and excavation expected to begin in the second quarter of 2026. Completion is anticipated in the first quarter of 2027.

Located near the 4, A, and C subway lines, the property offers connectivity to Manhattan and the broader New York City area.