Cohen of Leviathan arranges JV partnership and $2.875m construction loan

Brooklyn, NY Peter Cohen of Leviathan Capital has arranged a joint venture partnership and $2.875 million construction loan for a multifamily development in the Bushwick neighborhood.

The sponsor originally planned to develop an eight-unit building under the 421-a tax abatement. When the program expired and the 485-x replacement was still pending, the project stalled. With no general contractor in place, a maturing loan, and limited experience building multifamily, the sponsor was close to selling the site.

Cohen sourced a new general contractor, and structured a JV partnership — with the GC also investing equity into the deal. Simultaneously, he arranged new construction financing that allowed the sponsor to move forward. Instead of selling, the sponsor is now able to build affordable units and hold the property long-term, creating generational value.