Time Equities acquires 38-unit multifamily property for $13.1 million

Brooklyn, NY Time Equities Inc. (TEI) has made its first multifamily acquisition in New York City in more than a decade with the $13.1 million purchase of 323 East 19^th St., a 38-unit rental building located in Ditmas Park neighborhood.

Constructed in 2018 by Lightstone Management, the property offers a modern design, efficiently designed one- and two-bedroom layouts, a full suite of amenities, and outdoor space in the majority of units. The building is also 100% rent stabilized under an existing 421-a exemption.

“323 East 19^th St. is one of the higher quality multifamily properties in Ditmas Park, a neighborhood I believe has great potential,” said Francis Greenburger, chairman and CEO of TEI. “After more than a decade away from the city’s multifamily market, we saw this as the right asset to reenter the market. It is well-built, well-located, and reasonably priced. It reflects our belief that there are still smart, selective opportunities in New York for experienced long-term investors.”

Time Equities built its reputation throughout the 1970s and 1980s by acquiring and operating multifamily properties in New York City. Under Greenburger’s leadership, the firm has grown into a $7 billion global real estate platform with holdings in the U.S., Canada, and five additional countries. TEI continued to invest in New York multifamily for nearly 60 years but paused new acquisitions in the city in 2014 amid rising asset prices and significant shifts in local regulations.

“TEI saw this acquisition as a strategic opening in the current market cycle,” said Seth Coston, director of residential asset management at TEI. “Many multifamily properties are overleveraged, having taken out loans when interest rates were historically low. As these loans come due, some owners’ best option is to sell. Time Equities is well-capitalized and experienced in navigating complex environments. We see this as an opportunity to acquire quality assets at rational prices.”

Like many NYC rental buildings completed in the late 2010s, 323 East 19^th St. has faced economic headwinds, including pandemic-related vacancies and the long-term impacts of rent stabilization.

“By recapitalizing the property at a debt level that aligns with current rents and interest rates, we believe we can stabilize operations and deliver a solid return on investment,” Coston said. “We also see long-term upside in Ditmas Park, which continues to attract residents seeking value and space in Brooklyn.”

M&T Bank provided a $9.2 million mortgage for the acquisition.