SCALE Lending deploys $45 million construction loan for condo development

Harlem, NY SCALE Lending, the debt financing arm of Slate Property Group, has issued a $45 million senior-secured construction loan for a new multifamily project located at 264-272 West 135^th St.

The loan will be used by the sponsor, Mass Development, for the ground-up development of an 11-story residential condo building. The floating rate loan runs for 30 months with two six-month extensions and was arranged by Arrow Real Estate Advisors. The project is set to be completed in the summer of 2028.

The project team will include Brooklyn-based City Builders as general contractor, New York-based BUILTD as the architect, and Reavis to lead the residential sales. 

“Harlem is one of the most supply-constrained condo markets in New York City, with no new project of comparable scale or quality delivering in years, and the pipeline remaining effectively empty,” said Martin Nussbaum, co-founder and principal, Slate Property Group. “That level of scarcity creates a rare and compelling opportunity. We are proud to team up with Mass Development and provide the capital that will deliver 72 residences to a neighborhood that is long overdue for new for-sale product.”

264-272 West 135^th St. will include 72 residences ranging from studio to three-bedroom units, with more than half of the residences featuring a balcony. The first two floors of the property will consist of the lobby, 12,000 s/f of retail and a 15,000 s/f community space, which has already been leased to a daycare operator. The top floor amenity suite will include a fitness center, garden, resident lounge, spa and kids’ playroom while the movie room, storage and additional lounge areas will be located in the building’s lower ground floor.

Situated in West Harlem, residents of 264-272 West 135^th St. are within walking distance to the 125^th Street corridor, the area’s major retail hub with shopping, restaurants, cultural centers and entertainment options. The project is located within walking distance to major transit arteries including the B, C, 2, and 3 subway stops in addition to various bus routes.