Developing Brooklyn:
737 4th Avenue

August 27, 2024 - Spotlights

Brooklyn, NY In March of this year, the partnership team of BEB Capital, Totem, Ofer Cohen, and SK Development, secured financing for a major mixed-use development in Sunset Park. This $143 million project, located at 737 4th Ave., involves the construction of a 193,000 s/f, 14-story building comprising 187 mixed-income residential units and retail space. Canyon Partners Real Estate LLC and J.P. Morgan co-originated the $96 million construction financing. Tribeca Investment Group arranged the $25 million equity investment. Walker & Dunlop secured the financing on behalf of the ownership team.

The development will feature various unit types, including one-, two-, and three-bedroom residences. Notably, 46 of these units will be permanently affordable, averaging 48% of the area median income (AMI), marking one of the lowest AMI thresholds in Brooklyn over the past five years.

Beyond addressing New York’s critical need for affordable housing, 737 4th Ave.  includes a Community Benefits Agreement (CBA) with local organizations such as the Fifth Avenue Committee (FAC). This CBA promises long-term benefits for the neighborhood, including local employment opportunities, M/WBE contracting, and green infrastructure enhancements.

The development, located in an Opportunity Zone within Brooklyn’s “enhanced affordability area,” will also participate in the 421a program, known as Affordable New York, which grants a 35-year tax abatement. This strategic location and financial arrangement enable the project to offer the most affordable units possible.

The project will feature 6,200 s/f of ground-floor retail space, with a lease already secured for 1,275 s/f by former tenant Dunkin Donuts. 

Project Team

Architect dencityworks 

Developers BEB Capital, Totem, SK Development, Ofer Cohen

Environmental Engineer PW Grosser

General Contractor CM & Associates

Electrical Contractor US Electric

MEP Engineer Cosentini

Geotechnical Engineer Langan

Structural Engineer Rosenwasser Grossman 

Financing Canyon Partners Real Estate LLC and J.P. Morgan, Tribeca Investment Group

Legal Counsel Haynes Boone / Goldberg Weprin 

Mechanical Contractor Enercon

Plumbing TT 

Others Walker and Dunlop; Fifth Avenue Committee; Tribeca Investment Group

Project Info

Project Title 737 4th Avenue

Project Location 737 4th Avenue

Property Type Multifamily

Project Type New

Total Square Footage 193,000 s/f

Year Started 2024

Estimated Completion Date Fall 2025

Photo credit: Dencityworks

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